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Sunday, October 13, 2019

California wins $3.2 million judgment against Chinese apparel company

By Mark Iandolo | Aug 30, 2017

SACRAMENTO, Calif. (Legal Newsline) — California Attorney General Xavier Becerra announced a default judgment Aug. 22 against Ningbo Beyond, an apparel manufacturing company based in China that operates in California.

According to Becerra’s office, Ningbo Beyond failed to pay licensing fees for software it used, including products made by companies such as Adobe, Microsoft and Symantec. By not paying these fees, Ningbo was able to achieve a cost advantage in the apparel manufacturing, shipment and sales business – an industry with low profit margins.

“All businesses in California must compete on a level playing field,” Becerra said. “Ningbo Beyond tried to cheat the system by using pirated software to undercut its competition and boost its profits. This judgment should send a strong message to all companies doing business in California: play by the rules. As the state’s chief law enforcement officer, I’m committed to ensuring a thriving, competitive and fair marketplace.”

Under the terms of the judgment, Ningbo Beyond must pay $3.2 million to the state of California. Becerra noted this is the second time the California Attorney General’s Office has secured an enforcement against an international company for this kind of alleged misconduct.

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