Chinese wireless equipment maker Huawei Technologies has filed a lawsuit against Motorola in order to stop an asset sale to Nokia Siemens Networks.
Huawei claims that the asset sale would transfer its intellectual property to one of its biggest rivals, Nokia Siemens Networks, a joint venture between Finnish mobile phone maker Nokia and Siemens.
The company states that Motorola had been selling the company's equipment by re-branding it as its own, as a part of a 10-year long deal. The deal, however, doesn't cover the sale of Huawei intellectual property to another company.
The lawsuit, which was filed on Monday in a court in Chicago, requested that the $1.2 billion asset sale be put on hold till the company's intellectual property claims passes arbitration.
"Huawei has had a 10 year agreement with Motorola but we have no agreement that allows them to deliver our intellectual property to any third party,” Bill Plummer, vice president of external affairs for Huawei, said in a statement to The Wall Street Journal.