Mitsubishi Aircraft accuses Bombardier of trying to limit competition
for regional jets
MONTREAL (Reuters) - Mitsubishi Aircraft Corp on
Monday accused Bombardier Inc of using "anticompetitive conduct" to limit
competition for planes with under 100 seats, as the Japanese company works to
bring its long-delayed regional jet to market.
In October, the
Montreal-based plane-and-train-maker sued the aircraft unit of Mitsubishi Heavy
Industries Ltd, alleging that former Bombardier employees passed on trade
secrets to help with the development and certification of the company's new MRJ
regional jet.
The MRJ would compete with regional jets produced by
Bombardier and Brazil's Embraer SA.
Mitsubishi said in a counter-filing
claim that Bombardier tried to coerce it and Seattle-based Aerospace Testing
Engineering & Certification (AeroTEC) to sign no-poach agreements in 2016
that would stop them from hiring Bombardier's employees.
Bombardier Chief
Executive Alain Bellemare also implicitly threatened the continuation of its
"supply relationship" with Mitsubishi Heavy in a 2016 letter to board chairman
Hideaki Omiya unless the Japanese company "ceased the solicitation of Bombardier
employees," Mitsubishi said in the claim.
"We believe that in response to
the threat posed by the MRJ, Bombardier has chosen to engage in a pattern of
anticompetitive conduct instead of competing on the merits of its product," said
Mitsubishi in a company statement.
"Bombardier has threatened, pressured
and sought to coerce Mitsubishi Aircraft, its U.S.-based partners, and
individual employees working on the MRJ program."
Mitsubishi's regional
jet program, Japan's first passenger plane since the 1960s, has been delayed by
several years, with first customer ANA Holdings Inc now expecting the 90-seater
plane in 2020, rather than in 2013 as originally envisaged.
Bombardier
has said it hopes to make a decision this year on the future of its money-losing
CRJ regional jet as it "aggressively" pursues new orders to secure its
industrial future.
In response to the latest filing, Bombardier repeated
its view that its rival was illegally trying to obtain and use its trade
secrets.
"Mitsubishi Aircraft Corporation's attempt to recast the dispute
as anything other than Bombardier's justified protection of its intellectual
property is misguided and disingenuous," it said in a
statement.
"Bombardier will vigorously enforce its rights and that
includes holding (Mitsubishi Aircraft), AeroTEC and individual wrongdoers
accountable."
In the October lawsuit, Bombardier accused Mitsubishi
Aircraft of violating the Defend Trade Secrets Act of 2016 by trying to use the
confidential data and documents obtained from former employees to accelerate the
"extremely complex and costly" process of getting its planes
certified.
Mitsubishi Aircraft asked a U.S. court in December to dismiss
Bombardier's lawsuit, arguing that the allegations were baseless and designed to
"disrupt development" of its rival jet.
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