Newport Components, Inc. v. NEC Home Electronics (U.S.A.), Inc.

AMENDED OPINION AND ORDER ON MOTION TO DISMISS WITH REVISIONS

Two local electronics equipment distributors filed this action against a Japanese multi-national manufacturer of electronics products and two of its wholly-owned subsidiaries. Following several preliminary motions, the Japanese parent company and its Japanese subsidiary filed the present motion to dismiss on various procedural and substantive grounds. The Court took this matter under submission following oral argument. Having read and considered all briefs and documentary evidence presented, including the supplemental briefs filed after oral argument, the Court now grants the motion in part and denies the motion in part as follows:

I. FACTS AND PROCEDURE

Plaintiff Newport Components, Inc. (“NCI”) is a wholesale distributor of electronics products headquartered in Newport Beach, California. Plaintiff Logic Array, Inc. (“Logic”) is a Newport Beach-based retailer of electronics components, and one of the vendors to whom NCI distributed its products.

Defendant NEC Home Electronics (U.S. A.), Inc. (“NECHE-USA”) is a Delaware corporation engaged in the distribution of electronics equipment in the United States. NECHE-USA…