Siemens unit sues citizen watch over diode patents

Siemens AG's Osram GmbH unit sued Citizen Watch Co., accusing the Japanese company of infringing six U.S. patents for white-light emitting diodes used for the background of mobile-phone screens, cameras and car parts.
Osram, based in Munich, asked for a jury trial, an order to stop use of the inventions and unspecified damages in a complaint filed yesterday in federal court in Wilmington, Delaware.

``Citizen has continued to show no respect for Osram's U.S. patent rights'' by importing and selling diodes based on patents awarded since 2001, the complaint said.

Citizen Watch's president, Makoto Umehara, said in August that the Tokyo-based company is developing products such as diodes to help boost sales amid price competition. Citizen Watch mostly makes timepieces and industrial machinery.

Citizen Watch officials didn't immediately return voice and e-mail messages left after business hours.

Shares of Siemens, Europe's largest engineering company with $107.4 billion in fiscal 2006 sales, rose 28 cents to 72.38 euros today in Germany. They have risen 12 percent in a year.

Citizen Watch, with $2.96 billion in consolidated fiscal 2006 sales, rose 18 yen to 824 yen in Tokyo. The shares have fallen 17 percent in a year.

The case is Osram GmbH v. Citizen Watch Co., 06CV710, U.S. District Court, Delaware (Wilmington).

Source: Phil Milford on www.bloomberg.com

To contact the reporter on this story: Phil Milford in Wilmington, Delaware at pmilford@bloomberg.net .