Hytera Fights Motorola’s Contempt Bid Over Subsidiary Sale

By Editorial Team

Hytera Communications Corp. is pushing back against Motorola Solutions’ attempt to hold it in contempt for using funds from a subsidiary sale to pay off lenders instead of satisfying a trade secrets judgment owed to Motorola. The dispute is unfolding in an Illinois federal court, where Hytera argues that it should not face repercussions for conducting standard business operations.

Hytera’s stance comes as part of an ongoing legal battle between the two companies. Motorola had previously secured a trade secrets judgment against Hytera and is now seeking to enforce it by compelling Hytera to use the proceeds from a subsidiary sale to settle the debt.

In response, Hytera is contesting Motorola’s contempt bid, asserting that the use of the funds to repay lenders was a legitimate business decision and should not be viewed as a deliberate attempt to evade the trade secrets judgment.

The case, which is being heard in the U.S. District Court for the Northern District of Illinois, has attracted legal representation from notable firms. Kirkland & Ellis and Steptoe LLP are among the law firms involved in the dispute, representing Hytera and Motorola, respectively.

As the legal proceedings continue, both parties are gearing up for a potentially protracted legal battle over the enforcement of the trade secrets judgment and the use of funds from the subsidiary sale.

For further updates on this case and other legal developments, stay tuned to Law360 for comprehensive coverage.