12 unchanged sentences
A hearing for the motion to add Tangshan Ayers as judgment debtor was held on June 7, 2021.
−Removed: On September 22, 2021, the Bankruptcy Court issued a report and recommendation to the District Court recommending that it deny FGI Industries’
−Removed: motion to amend the judgment.
+Added: On September 22, 2021, the Bankruptcy Court issued a report and recommendation to the District Court recommending that it deny FGI Industries’ motion to amend the judgment.
FGI Industries filed an objection to the report in October 2021 and is awaiting the Bankruptcy Court’s decision.
Huida Arbitration
−Removed: On or about September 24, 2021, Huida filed a request for arbitration with FGI Industries in the Shenzhen Court of International Arbitration.
−Removed: In the arbitration, Huida seeks a determination that the terms of an exclusive distribution agreement between FGI Industries and Huida, dated October 20, 2000, are not unlimited in duration and should be amended or else terminable.
−Removed: The arbitration proceedings were scheduled to begin on March 30, 2022, but have been delayed due to the ongoing pandemic.
−Removed: The arbitration date has not yet been rescheduled.
−Removed: FGI Industries has retained Chinese counsel to pursue its interests in the pending arbitration.
+Added: As previously disclosed, FGI Industries Ltd.
+Added: (the “Company”), has been involved in arbitration with Tangshan Huida Ceramic Group Co., Ltd (“Huida”), one of the Company’s largest suppliers.
+Added: The arbitration, held in the Shenzhen Court of International Arbitration, related to that certain Agreement for Co-operations (the “Co-Operation Agreement”), dated October 20, 2000, by and between Huida and FGI Industries, Inc., our wholly owned subsidiary.
+Added: Huida was seeking a determination that the terms of the Co-Operation Agreement were not unlimited in duration and should be amended or else terminable.
+Added: On September 28, 2022, the Company received notice that the arbitrator ruled that the Co-Operation Agreement was not unlimited in duration and is being terminated.
+Added: There are no termination fees or penalties payable by the Company as a result of this termination, although the Company did pay certain arbitration fees of Huida.
+Added: Under the Co-Operation Agreement, so long as the Company met certain annual product placement volume requirements, (i) the Company had an exclusive right to distribute and resell in the United States and Canadian markets any products designed and created by Huida and for which Huida retained all intellectual property rights, and (ii) Huida was not permitted to manufacture or sell any products the Company designed or created, for which we retained all intellectual property rights, without the Company’s prior consent.
+Added: Huida remains a supplier of the Company’s sanitaryware products.
+Added: The Company intends to work towards a new agreement with Huida that complies with the arbitrator’s findings, primarily a more limited duration to the length of the contract.
+Added: However, there is no guarantee that an agreement can be reached on mutually agreeable terms.
Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.