Huawei expected to sue U.S. government this week: report


Huawei is getting ready to sue the U.S. government for banning U.S. companies from using the company’s products, according to a New York Times report.

Citing two anonymous sources, the Times wrote that the lawsuit could be filed later this week in Texas, the location of Huawei’s U.S. headquarters. The lawsuit would challenge one part of the defence spending authorization law that the U.S. approved last year. That particular section bars executive agencies from using any equipment from Huawei or ZTE.

The lawsuit would come at the same time that Huawei CFO Meng Wanzhou has sued the Canadian government, the RCMP and the CBSA. Meng’s lawyers filed that lawsuit on March 1st, the same day the Canadian government announced it was proceeding with its extradition case against Meng.

For a while now, the U.S. has alleged that China could use Huawei’s equipment to spy and while the company has denied these allegations, major wireless carriers like AT&T and Verizon have been blocked from using Huawei.

The U.S. Justice Department charged Huawei, its subsidiary Skycom, and Meng 13 counts of wire and bank fraud. The country alleges that Skycom is an unofficial subsidiary, but those charges have not been proven in court. Huawei maintains that the two are separate companies and independent of each other.

The New York Times reports that the lawsuit “is likely to argue that the provision is a ‘bill of attainder,’” which is a legislative act “that singles out a person or group for punishment without trial.”

Source: The New York Times