Foxconn Sues Creative for Half a Million Dollars

Sometimes it seems like all those court battles between tech companies just can't be put to rest, a new fight emerging on the consumer electronics front, this time between Foxconn and Creative, the former accusing the Singapore-based company of failing to pay $500,000 for services that Foxconn is said to have provided.

According to the TechEye.net, the lawsuit was filed in a Singapore court on September 8, the hearing being scheduled to be held on December 3.

As Foxconn presents it, Creative has failed to pay $500,576 US for different supplies and services that Foxconn provided, Creative refusing to pay after its discount request was refused, according to the Taiwanese-based manufacturer.

Creative, on the other hand, claims in court papers, that no contract was in place between either Foxconn or its flagship Hon Hai Precision Industry Co and them, Foxconn's claims being unfounded.

Neither Creative of Foxconn commented on this lawsuit, Foxconn refusing to immediately respond while Creative couldn't be contacted.

Founded in 1974, Hon Hai Precision Industry Co Ltd is the world's largest maker of electronic components, Foxconn being a subsidiary of this company.

Although Foxconn is pretty secretive when it comes down to its manufacturing contracts, the company is behind some of the most widespread consumer electronics available out there such as Apple's iPad or iPhone.

Lately, the company has come to the attention of the international press as a result of the employee mistreatment allegations and 2010 employee suicide spree, the company just cutting its 50% growth target after raising wages.

On the other hand, Creative is one of the most well known multimedia product manufacturers, the company being behind the highly acclaimed Sound Blaster line of PC audio cards, and lately the Zen music player and Ziio tablet.

Since the situation between the two companies is really complicated right now, we'll just have to wait and see what the court decides.