After a three hour evidentiary hearing, on January 22, 2014, a Judge in Austin, Texas issued an Injunction against Hong Kong Dajiang Innovation Technology Co., Ltd., which is commonly known as DJI Innovations (“DJI China”), a company based in Shenzhen, China, to protect the business of Austin, Texas-based DJI North America, LLC and its minority owner.
Formed in July 2012, DJI North America was designed to serve as the exclusive North American branch of DJI China for sales of its high-end Unmanned Aerial Vehicles, which are used primarily for aerial photography. After North American sales sky-rocketed, DJI China embarked on a course of conduct designed to “misappropriate DJI North America’s business in total,” the Judge determined.
DJI North America and its minority owner brought claims against DJI China for Breach of Fiduciary Duty and Minority Owner Oppression. Upon hearing the evidence presented by both sides, the Judge ruled that DJI North America and its minority owner were likely to prevail at trial on their claims against DJI China.