German District Court Grants Honeywell's Permanent Injunction Against BorgWarner in Turbocharger Patent Infringement Suit
MORRIS TOWNSHIP, N.J.--Jan. 14, 2003--Honeywell announced today that a district court in Dusseldorf, Germany, has granted its request for a permanent injunction requiring BorgWarner to cease production of its turbochargers that infringe Honeywell's patent.
Following a temporary injunction granted by the same court and in exchange for a $25 million payment, Honeywell settled its claims for past damages against BorgWarner and agreed to grant a license through June 30, 2003, enabling BorgWarner to continue sales of its KP39 variable geometry turbochargers in order to avoid any disruptions to automotive customers.
"Honeywell invests substantially in our research and development activities, including turbocharger technologies design," said Peter Kreindler, Honeywell Senior Vice President and General Counsel. "We are encouraged by the court's ruling enforcing the importance and significance of protecting innovation. At the same time, we continue to hope to reach a global settlement before June 30, 2003 that would enable BorgWarner to meet its commitments to our mutual customers, while providing a fair return on our pioneering variable geometry turbocharger technology."
Honeywell first filed its lawsuit at the district court in Dusseldorf in December 2001, based on Honeywell's European Patent 022644 B1. The court granted the temporary injunction in April 2002. Actions are pending in other European jurisdictions.
Honeywell's Garrett unit, which has a long-standing reputation as a leading innovator of turbocharging technology, helped pioneer variable geometry turbocharging in the 1980s.
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