Global Sales Hytera under Threat

Judge rules Hytera parent in contempt, proposes to halt two-way-radio sales globally unless $49M royalty paid.

A U.S. federal judge last week ruled that Hytera Communications is in contempt of court for failing to make a $49 million royalty payment owed to Motorola Solutions that was due more than a year ago.

In addition, the judge indicated that she would issue an injunction prohibiting Hytera from selling any two-way radio products anywhere in the world until the China-based LMR parent company makes the royalty payment into an escrow account.

U.S. District Judge Martha Pacold issued the ruling on Monday after conducting a contempt hearing on Aug. 17 and allowing lawyers for both Hytera Communications and Motorola Solutions to submit supplemental briefs outlining their positions about what legal remedy should be implemented if Hytera was found to be in contempt.

In her order, Pacold determined that Hytera Communications was in contempt of the court’s December 2021 royalty order—issued by Judge Charles Norgle, who retired last year—because it has not made the $49 million royalty payment due in July 2022 for sales of DMR products using trade secrets and copyrighted material from Motorola Solutions.

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