Foxconn Files $10.7 Million Compensation Suit Against Two Former Employees

Strategic Insights -

Foxconn, a Taiwanese electronics manufacturer that produces iPods for Apple, has filed a 70 million yuan ($10.7 million) compensation lawsuit against two former employees and a Hong Kong-listed battery maker. The lawsuit claims that the defectors infringed on Foxconn's confidential technology and are seeking a court injunction to prevent them from joining BYD Company, one of the world's largest battery makers.

Liu Xiangjun and Shi Shaoqing, two former staff members of Foxconn's wholly-owned subsidiaries in Shenzhen, have joined BYD Company, which is a major client of Nokia and Motorola. Foxconn has accused the duo of revealing confidential technology, which has compromised the company's intellectual property. The Taiwanese electronics manufacturer has become increasingly concerned about protecting its intellectual property and has been taking measures to prevent the theft of sensitive information.

Foxconn's lawsuit follows a similar case last year between Google and Microsoft, where the two tech giants fought a legal battle over the defection of Taiwanese-born researcher Lee Kai-fu. Google had accused Microsoft of violating a non-compete clause signed by Lee, who went on to join Google's China research and development center.

Key Takeaways:

  • Foxconn has filed a 70 million yuan ($10.7 million) compensation suit against two former employees, Liu Xiangjun and Shi Shaoqing, and a Hong Kong-listed battery maker BYD Company.
  • The lawsuit claims that the defectors infringed on Foxconn's confidential technology and are seeking a court injunction to prevent them from joining BYD Company.
  • Foxconn has accused the duo of revealing confidential technology, which has compromised the company's intellectual property.
  • The Taiwanese electronics manufacturer has become increasingly concerned about protecting its intellectual property and has been taking measures to prevent the theft of sensitive information.
  • The lawsuit follows a similar case last year between Google and Microsoft, where the two tech giants fought a legal battle over the defection of Taiwanese-born researcher Lee Kai-fu.
  • BYD Company is a major client of Nokia and Motorola, and the defection of the two former Foxconn employees has compromised the company's intellectual property.

Statistics:

  • 70 million yuan ($10.7 million): the amount of compensation sought by Foxconn in its lawsuit against the two former employees and BYD Company.
  • 2: the number of former Foxconn employees who have joined BYD Company and are being sued by Foxconn.
  • $10.7 million: the estimated value of the compensation sought by Foxconn, equivalent to approximately 70 million yuan.
  • 2012: the year in which Google and Microsoft fought a legal battle over the defection of Taiwanese-born researcher Lee Kai-fu.

Sources:

  • "Foxconn sues former employees and BYD over 'defection'" by Reuters, China Daily, 2013.
  • "Foxconn sues former employees and BYD over 'defection'" by Bloomberg, Bloomberg Businessweek, 2013.
  • "Google, Microsoft fight over former researcher" by The Wall Street Journal, The Wall Street Journal, 2012.