萬國法律事務所

AU Optical is facing two civil and one criminal law suits for alleged antitrust violations in the United States. One of the two civil suits was brought by indirect purchasers from eight different states, who are consumers, as a class action; and the other was brought by direct purchasers. In the criminal prosecution, all the other defendants have entered into a plea bargain agreement with the US Department of Justice and AU Optical remains the only defendant.

In the class action suit, AU Optical has agreed in principle to a group settlement along with the other manufacturers, such as LG and Toshiba, and as such, AU Optical will be responsible for a portion of the USD 543.5 million to be paid in settlement of the claims. On top of that amount, which is paid to the consumers, the settlement also requires the manufactures to pay USD 27.5 million in fines to each of the eight states. In the civil case brought by the direct purchasers, AU Optical is also leaning toward a settlement. These settlements, if reached successfully, will be structured so that they will not affect the ongoing criminal prosecution.

In the criminal prosecution, AU Optical and two of its executives, Xuan Bin Chen and Hui Xiong, have been found guilty of antitrust violations by a jury, but, the court has not yet issued a decision. However, according to the law, the two executives could be sentenced to as many as 10 years imprisonment and a fine of up to USD 1 million. AU Optical is also facing up to USD 1 billion in fines. AU Optical is dissatisfied with the results and maintains that it is innocent and AU optical is expected to appeal the decision to the circuit court regardless the court’s sentence.