Largan Precision Co. Ltd vs Foxconn Hon Hai Technology India Mega ... on 6 December, 2023

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Delhi High Court - Orders

Largan Precision Co. Ltd vs Foxconn Hon Hai Technology India Mega ... on 6 December, 2023

Bench: Prathiba M. Singh

                                    $~48
                                    *    IN THE HIGH COURT OF DELHI AT NEW DELHI
                                    +    CS(COMM) 867/2023, I.As. 24204/2023, 24205/2023, 24206/2023,
                                         24207/2023, 24208/2023, 24209/2023

                                                LARGAN PRECISION CO. LTD.                ..... Plaintiff
                                                             Through: Mr. Pravin Anand, Mr. Shrawan
                                                                       Chopra, Mr. Vaibhav Mittal & Ms.
                                                                       Samya, Advocates.
                                                             versus

                                                FOXCONN HON HAI TECHNOLOGY
                                                INDIA MEGA DEVELOPMENT PRIVATE
                                                LIMITED & ANR.                                                             ..... Defendants
                                                              Through: None.
                                                CORAM:
                                                JUSTICE PRATHIBA M. SINGH
                                                                         ORDER

% 06.12.2023

1. This hearing has been done through hybrid mode. I.A. 24206/2023 (for additional documents)

2. This is an application filed by the Plaintiff seeking leave to file additional documents under the Commercial Courts, Commercial Division and Commercial Appellate Division of High Courts Act, 2015 (hereinafter, 'Commercial Courts Act'). The Plaintiff , if it wishes to file additional documents at a later stage, shall do so strictly as per the provisions of the Commercial Courts Act and the DHC (Original Side) Rules, 2018.

3. The application is disposed of.

I.A. 24207/2023 (u/S 12A)

4. This is an application filed by the Plaintiff seeking exemption instituting pre-litigation mediation under Section 12A of the Commercial CS(COMM) 867/2023 Page 1 of 7 This is a digitally signed order.

5. Ld. counsel for the Plaintiff submits that since the Plaintiff itself is the supplier to Apple India for several years, there may be parallel negotiations that may be going on in this matter.

6. Considering the facts and circumstances of the case, the Court is satisfied that in terms of the judgment of the Hon'ble Supreme Court in Yamini Manohar v. T.K.D Keerthi, (2023 LiveLaw (SC) 906), the present suit contemplates urgent interim relief.

7. Accordingly, the exemption is allowed and application is disposed of. I.A. 24208/2023 (for exemption)

8. This is an application seeking exemption from filing originals/certified/cleared/typed or translated copies of documents, proper margins, electronic documents, etc. Original documents shall be produced/filed at the time of Admission/Denial, if sought, strictly as per the provisions of the Commercial Courts Act and the DHC (Original Side) Rules, 2018.

9. Exemption is allowed, subject to all just exceptions. Accordingly, application is disposed of.

I.A. 24209/2023 (for exemption)

10. This is an application from filing legalized versions of various affidavits, statement of truth, etc. Let the legalized affidavit be filed within a period of 8 weeks.

11. List on 10th April, 2024.

I.A. 24205/2023 (for interrogatories)

12. In this application, the Plaintiff seeks answers to the interrogatories which are annexed to the application.

CS(COMM) 867/2023 Page 2 of 7

This is a digitally signed order.

The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 08/12/2023 at 00:58:43

13. Issue notice.

14. Let a reply to this application be filed within four weeks. Rejoinder be filed within four weeks, thereafter. List on 10th April, 2024. CS(COMM) 867/2023

15. Let the plaint be registered as a suit.

16. Issue summons to the Defendants through all modes upon filing of Process Fee.

17. The summons to the Defendants shall indicate that the written statement to the plaint shall be positively filed within 30 days from date of receipt of summons. Along with the written statement, the Defendants shall also file an affidavit of admission/denial of the documents of the Plaintiff, without which the written statement shall not be taken on record.

18. Liberty is given to the Plaintiff to file a replication within 15 days of the receipt of the written statement(s). Along with the replication, if any, filed by the Plaintiff, an affidavit of admission/denial of documents of the Defendants, be filed by the Plaintiff, without which the replication shall not be taken on record. If any of the parties wish to seek inspection of any documents, the same shall be sought and given within the timelines.

19. List before the Joint Registrar for marking of exhibits on 23rd January, 2024. It is made clear that any party unjustifiably denying documents would be liable to be burdened with costs.

20. List before Court on 10th April, 2024.

I.A. 24204/2023 (u/O XXXIX Rule 1 and 2 CPC)

21. Issue notice.

22. The Plaintiff in the present suit- Largan Precision Co. Ltd. is a Taiwanese company, founded in 1987. The case of the Plaintiff is that it is a CS(COMM) 867/2023 Page 3 of 7 This is a digitally signed order.

The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 08/12/2023 at 00:58:44 global leader in the research, development, design, and production of high end miniaturized optical components, including a variety of camera lenses, optical lens modules, voice coil motors, and optoelectronic components. These products of the Plaintiff are used in smartphones, tablet PCs, laptops and various other digital devices, including smart vehicles, medical devices, smart home applications and even consumer electronic products which have cameras and scanners.

23. The Plaintiff claims to be one of the world's largest suppliers of smartphones camera lenses with a 25 to 30 percent of the global market share. The range of optical products which are being manufactured and sold by the Plaintiff are filed as a list along with the documents in the present suit.

24. The case of the Plaintiff is that it has invested approximately Rs.10 billion in research and development in 2022 and owing to the high end digital expertise which the Plaintiff possesses, it has obtained a large number of patents for its innovations as well. Being one of the main suppliers of high-end camera lenses, the various models of lenses which are manufactured by the Plaintiff are also stated to be used in various Apple products including Iphone 15. The present suit relates to the following two patents:

(i) Indian Patent No. IN 384240 titled as "PHOTOGRAPHING OPTICAL LENS ASSEMBLY, IMAGE CAPTURING UNIT AND ELECTRONIC DEVICE" (hereinafter "IN'240"). The said patent IN'240 relates to a photographic optical lens assembly and an image capturing unit applicable to an electronic device. The bibliographic details of the suit patents IN'240 are as detailed below:

CS(COMM) 867/2023 Page 4 of 7

This is a digitally signed order.

The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 08/12/2023 at 00:58:44

(ii) Indian Patent No. IN 389877 titled as "ANNULAR OPTICAL ELEMENT, IMAGING LENS MODULE AND ELECTRONIC DEVICE" (hereinafter, "IN'877"). The said patent IN'877 relates to an annular optical element and an imaging lens module which are applicable to portable electronic devices, such as a smartphone. The bibliographic details of the suit patent IN'877 are as detailed below:

CS(COMM) 867/2023 Page 5 of 7

This is a digitally signed order.

The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 08/12/2023 at 00:58:44

25. The submission of ld. Counsel for the Plaintiff is that Foxconn Hon Hai Technology India Mega Development Private Limited (hereinafter, Foxconn) which is the manufacturer of iPhones in India as also the Singaporean principal company i.e., Foxconn Singapore Pte Ltd. are violating and infringing upon the patents of the Plaintiff.

26. It is his submission that the Plaintiff supplies lenses for iPhones to Apple. However, when such lenses are supplied, the same are clearly identifiable as the Plaintiff's products.

27. In some of the models of iPhone products which are being currently manufactured in India, some third party lenses that are infringing in nature are being used by Foxconn, which infringe the Plaintiff's patents.

CS(COMM) 867/2023 Page 6 of 7

This is a digitally signed order.

The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 08/12/2023 at 00:58:44

28. The Plaintiff accordingly prays for an injunction and for damages. Advance copies have been served to the Defendants. However, none appears for the Defendants.

29. Let a reply to this application be filed within four weeks. Rejoinder be filed within four weeks, thereafter.

30. List on 10th April, 2024.

PRATHIBA M. SINGH, J.

DECEMBER 06, 2023 Rahul/bh CS(COMM) 867/2023 Page 7 of 7 This is a digitally signed order.

The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 08/12/2023 at 00:58:44

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Delhi High Court - Orders