ex CEO Colin Guinn is ALIVE, Files legal Injunction against

Re: ex CEO Colin Guinn is ALIVE, Files legal Injunction agai

Looks like a real court order to me, and Guinn may have a case.
 
Re: ex CEO Colin Guinn is ALIVE, Files legal Injunction agai

Well he must have a prima facie case for the injunction to have been granted in the first place. However, those papers only reflect the plaintiffs' side of the argument. There are no papers in that bundle from the defendants giving their side of the story so we'll need to wait and see until reports of the next hearing come out.
 
Re: ex CEO Colin Guinn is ALIVE, Files legal Injunction agai

Did I miss something??? According to what I read that court order is already expired (jan 22,2014)
 
Re: ex CEO Colin Guinn is ALIVE, Files legal Injunction agai

Here is the Court Order and injunction document link:

https://www.dropbox.com/s/uu1aims793yj9 ... xhibit.pdf

In addition to the other serious claims by DJI NA and Colin, this is a classic case of enforcing distributor/dealer protection laws. It happens all the time in the US and abroad. You have distributors/subsidiaries that develop a market, to later find out that the manufacturer is doing an end-run and selling directly.

Clearly, there is preliminary evidence of some kind of wrong doing (from the court's opinion). From the distributor protection act or unfair business practices laws, Colin and DJI NA may be in pretty firm ground. Just speculating.

Seems like the scope of the injunction is very constrained, in that it is limited to dealers directly developed by DJI NA. The question is whether or not DJI will settle and possibly pay a royalty to Colin for sales to Dealers developed by DJI, or whether DJI HK will pull out of the market. It will come down to the size of the total US market and the % of the market held by DJI NA dealers.

Good case to follow. As a strange coincidence, in 1992, I wrote an article for the C.W.R.U Law Journal on the impact of dealer protection laws. Similar situation. I would not want to be in DJI HK shoes with the case being litigated in a Texas State court (home turf), instead of Federal District Court. :mrgreen: :mrgreen:
 
Re: ex CEO Colin Guinn is ALIVE, Files legal Injunction agai

OI Photography said:
In case anybody missed it, iDrone just posted this interesting article about the TRO: viewtopic.php?f=7&t=7245

(most of the same details rmk posted above, a little easier to read)

You are absolutely right. Can't shake my old "legalese" habit.
 
Re: ex CEO Colin Guinn is ALIVE, Files legal Injunction agai

rmklaw said:
OI Photography said:
In case anybody missed it, iDrone just posted this interesting article about the TRO: viewtopic.php?f=7&t=7245

(most of the same details rmk posted above, a little easier to read)

You are absolutely right. Can't shake my old "legalese" habit.

Actually, that was just me saving face after I realized you'd already posted the same general info :D
 
Re: ex CEO Colin Guinn is ALIVE, Files legal Injunction agai

Doesn't look like this thread has been updated with the latest on this legal saga ... Well, this explains quite a bit: http://finance.yahoo.com/news/dji-north ... 00182.html

The Court considered evidence that DJI China misappropriated all the revenue in DJI North America’s revenue account, sought to liquidate the assets of DJI North America on New Year’s Eve, and forced DJI North America to fire twenty employees immediately before Christmas without severance.

In order to stop irreparable harm to DJI North America and its minority owner, the Judge ordered that DJI China must return DJI North America’s access to its bank accounts and its social media accounts. The Judge also ordered that DJI China cease and desist from routing sales around DJI North America to identified North American dealers, which violated the exclusivity agreement.

The Judge ruled that an Injunction was necessary because DJI China was placing DJI North America’s assets in China, out of the reach of the United States Court. The Judge found that DJI China not only placed money from DJI North America’s revenue account into a foreign bank account, but it also directed DJI North America’s customers to make payments directly to a Chinese bank account.
 
Re: ex CEO Colin Guinn is ALIVE, Files legal Injunction agai

OK...looking in the future...can DJI Hong Kong go bankrupt because of this?
 
Re: ex CEO Colin Guinn is ALIVE, Files legal Injunction agai

ppdrone said:
OK...looking in the future...can DJI Hong Kong go bankrupt because of this?

Nah, there's no practical way to monitor and enforce such injunction anyway... they're gonna create alternate entities to continue conducting business as usual. There's too much money to be made for all parties involved to stop the distribution of Phantoms.
 

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