Microsoft Sues Foxconn Parent for Missing Patent-Licensing Upgrades

Microsoft is suing Foxconn's Taiwanese parent firm Hon Hai for its alleged collapse of this consumer-electronics maker to abide by a patent-licensing arrangement, the press reported.

The Windows-maker, at the suit filed on Friday, accused Foxconn of failing to present twice-yearly royalty reports regarding certain unspecified goods and also for not creating royalty payments in time.

"Microsoft requires its contractual obligations seriously and we expect other businesses to perform the same. This legal act is just to work out the coverage and audit provisions of a contract we signed in 2013 using Hon Hai," CNBC lent that a Microsoft spokesperson as saying on Saturday.

In 2017, Foxconn had consented to be audited by a third party - Deloitte - however, the company has not submitted any records which were asked, the filing mentioned.

Thus, Microsoft is suing for royalty payment with interest, an overview of Hon Hai's novels and lawyer fees, the report included.

It remains uncertain what goods were covered under the arrangement.

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