In a landmark development in India’s intellectual property (IP) litigation landscape, the Delhi High Court has directed South Korean telecom equipment maker Ace Technologies Corp. to deposit ₹290 crore as interim security in an ongoing patent infringement suit filed by Canadian company Communication Components Antenna Inc. (CCA).
The single-judge bench of Justice Saurabh Banerjee issued the order citing the need to secure the plaintiff’s interests in the absence of any mutual legal enforcement treaty between India and South Korea.
Background of the Dispute
The legal battle stems from allegations by CCA that Ace Technologies unlawfully manufactured and supplied advanced beamforming antenna systems to Reliance Jio Infocomm Ltd, violating CCA’s Indian patent covering next-generation multi-beam antenna technologies. These patented systems are critical for optimizing signal strength and reducing interference in mobile networks.
CCA claims its proprietary designs were copied by Ace and sold on a large scale to Jio, thereby infringing on its intellectual property. The plaintiff is seeking ₹1,160 crore in damages.
Court’s Observations
Justice Banerjee relied on earlier court findings and observed that a prima facie case of infringement had already been made in earlier hearings and upheld by the Division Bench and the Supreme Court of India. The court noted that Ace’s financial health had deteriorated, with a 65% drop in market capitalization, and it had no significant presence or assets in India.
These concerns led the court to invoke Section 151 of the Code of Civil Procedure, granting it inherent powers to pass any orders necessary to serve the ends of justice. The ₹290 crore deposit is in addition to the previously secured ₹75 crore, bringing the total security amount to ₹365 crore, reportedly the highest ever in an Indian patent lawsuit.
Patent at the Heart of the Case
CCA’s patent relates to beamforming antenna technology, used in cellular base stations for targeted signal delivery. The company alleges Ace’s antennas replicate these patented designs, offering similar functionality and configurations, thereby infringing on their exclusive rights.
Next Phase of the Case
The Delhi High Court has directed the parties to proceed to the recording of evidence, marking the next critical stage of the trial. The court emphasized that this financial security was crucial to ensure that the plaintiff’s claim does not become unenforceable in the future due to the defendant’s foreign status and lack of assets in India.
This article is based on publicly available information and court documents regarding the Delhi High Court’s proceedings in the patent infringement case between Communication Components Antenna Inc. and Ace Technologies Corp. The details presented are for informational and journalistic purposes only and do not constitute legal advice or opinion. Readers are encouraged to consult official court records or legal experts for more specific interpretations.