Huawei drops lawsuit against the US government after reconciliation

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Huawei subsidiary in the United States filed a lawsuit on September 9 against the US Department of Commerce and several other US government agencies filed in June over the unauthorized seizure of Huawei telecommunications equipment.

Before US officials in September 2017. After a long and unjustified confiscation, Huawei decided to drop the case after the US government returned the equipment, which Huawei considers being an implicit acknowledgment that the seizure itself was illegal and arbitrary. The case was cited as part of a series of concerns recently reported by the company regarding inappropriate and unjustified actions against Huawei by the US government.

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The equipment, which includes computer servers, Ethernet switches, and other telecommunications equipment manufactured by Huawei in China, should have been shipped back to China after commercial testing and certification at a California laboratory in September 2017, but the US Department of Commerce took the equipment for two years.

Despite multiple requests from Huawei, the US government failed to decide whether an export license was required to ship equipment to China, and continued to retain it.

Huawei had no alternative but to sue on June 21 at the US District Court for the District of Columbia, challenging the US government’s long and unjustified failure to determine whether the equipment could be shipped to China without an export license. These actions by the US government violate the Constitution and the Code of Administrative Procedure, among other things.

In August, the US government informed HT USA in writing that after a late investigation, it decided that no export license was required for shipping to China and that Huawei had complied with export management regulations when attempting to ship equipment again. The US government shipped the equipment to HT USA at government expense.

Dr. Song Leoping, Huawei ‘s chief legal officer, said Huawei has won a victory despite its voluntary rejection of the lawsuit but is still disappointed by the fact that the US government has failed to provide any explanation for its withholding of Huawei equipment illegally. So long.

In a voluntary separation notice filed with the US District Court for the District of Columbia, HT USA said it had requested in writing from the US Department of Commerce to explain why it had seized the equipment in 2017, why it had decided to release it now, and why it took nearly two years to acknowledge that the detention of the equipment Unjustified. So far, the government has refused to clarify.

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“Arbitrary and unlawful government actions like this – withholding property without reason or explanation – should be a cautionary tale for all companies doing normal business in the United States, and must be subject to legal restrictions,” Dr. Song said.

In a September 3 media release, Huawei listed how the US government uses all the tools at its disposal – including judicial and administrative authorities – to disrupt the company’s normal business operations. This includes obstruction of normal commercial activities and technical communications through intimidation, visa rejection, and cargo seizure. Dr. Song pointed out that Huawei will continue to vigorously defend its legitimate rights and interests by legal means.