BorgWarner Turbo Systems and Honeywell have settled a patent dispute relating to variable geometry turbochargers - business notes - Brief Article

Diesel Progress North American Edition, August, 2003

BorgWarner Turbo Systems and Honeywell have settled a patent dispute relating to variable geometry turbo chargers. The $29.1 million agreement follows a January ruling by a German district court requiring BorgWarner to cease production of certain models of its variable turbine geometry (VTG) turbochargers in and from Germany that infringe the Honeywell patent.

Following a temporary injunction granted by the same court, BorgWarner had earlier paid Honeywell $25 million in exchange for a license through June 30. The agreement covers the almost 1 million units and service production expected to be produced during the period of this agreement. This settlement grants BorgWarner a limited license under the relevant Honeywell patent. The multi-year agreement extends from July 1 of this year through the end of 2006.