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November 07, 2012

Eltek Files Suit against East UPS for IP Infringement

By Carolyn J Dawson, TMCnet Contributor

Eltek, a technology organization offering high-efficiency (HE) power products for telecom and industrial applications, filed a suit against East UPS in China for breach of intellectual property. The two organizations were currently in the process of settling the suit outside court. Eltek has, however, moved away from the negotiations and announced its intention to once again take on East UPS in court.

In a statement, Morten Schøyen, marketing director of Eltek said, “Eltek´s world-class technology is a unique asset, and we do not accept infringement of our intellectual property rights. Without exception, we will pursue any infringements now or in the future.”

Around a year and a half ago, a supplier of Eltek in China brought to the organization’s notice that products from East UPS were seemingly alike to Eltek offerings. Eltek purchased these products and analyzed them thoroughly.

Based on its analysis, Eltek thinks the products manufactured by East UPS were based on Eltek’s production documents and software that were obtained unlawfully. Eltek believes that ex-employees of Eltek, who later joined East UPS, have been responsible for passing on this information.

Schøyen said, “Our evidence in this case is overwhelming. The software can be proven to be direct copies of Eltek software. Component specifications and product designs are obvious copies and even the user documentation is a scanned copy with the Eltek logo replaced by that of East UPS. We entered a dialogue to settle outside court with, in our view, very favorable terms for East UPS considering their position. When they decided to decline our offer, which we have amended in several rounds to come to an agreement, we had no other choice than to go to court. Eltek believes in the Chinese legal system and its ability to strike down these kinds of illegal activities.”

Eltek also has a considerable presence in renewable markets like photovoltaic grid inverters and chargers for electric vehicles.  

Eltek had comprehensible evidence in this matter against East UPS. The organization, however, complied with the Chinese court for carrying out settlement negotiations.

Edited by Rachel Ramsey

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