Legal Industry News

Why United States Lawsuits Against Chinese Companies Are Trending Up. Just Follow The Money.

I hate when I have to be vague for attorney-client reasons, but at the same time, I also hate not writing on something really pressing and important. The problem is that the times I have to get vague often correspond with those times when I have important and current information. This is one of those times.

There has in the last year or so, been an uptick in the number of lawsuits in the United States against Chinese companies. I do not have hard numbers to back this up, beyond the numbers of my own small law firm, but I have no reason to believe these are unrepresentative. This is happening for the following reasons, among others:

•  There has been an increase in business between U.S. and Chinese companies;
•  Lawsuits do not usually happen immediately after business relationships have been  established. They usually happen years after that, when business has reached a level  worth suing over, when the relationship has soured, and when it has become clear there  will be no resolution without court intervention. 
•  Economic downturns tend to increase the likelihood of relationships souring and litigation  ensuing.
•  More Chinese companies are doing sufficient business in the United States so as to...

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