NHK Spring Co., Ltd. v. Cheung
NHK Spring Co., Ltd.
Law Firm / Organization
Baker McKenzie LLP
NHK International Corporation
Law Firm / Organization
Baker McKenzie LLP
NHK Spring (Thailand) Co., Ltd.
Law Firm / Organization
Baker McKenzie LLP
NAT Peripheral (Hong Kong) Co., Ltd.
Law Firm / Organization
Baker McKenzie LLP
TDK Corporation
SAE Magnetics (HK) Ltd.
Headway Technologies, Inc.
Magnecomp Precision Technology Co., Ltd.
Magnecomp Corporation
Hutchinson Technology Inc.
Criminal Defence Advocacy Society
Law Firm / Organization
Martland & Saulnier
Lawyer(s)

Brock Martland

Background: NHK Spring Co., Ltd., NHK International Corporation, NHK Spring (Thailand) Co., Ltd., and NAT Peripheral (Hong Kong) Co., Ltd. (Appellants) were accused by Tony Cheung, Sylvie de Bellefeuille, and Graeme Honeyman (Respondents) of participating in an international price-fixing conspiracy. The Appellants allegedly conspired to fix the prices of hard disk drive suspension assemblies (Assemblies) between 2003 and 2016, which inflated prices and affected Canadian purchasers.

Legal Arguments/Issues: The Respondents sought certification of a national class action under the Class Proceedings Act, R.S.B.C. 1996, c. 50. They alleged a conspiracy under section 36 of the Competition Act, R.S.C. 1985, c. C-34, claiming price-fixing and unjust enrichment. The Appellants challenged the court’s jurisdiction, arguing that the wrongful acts occurred outside Canada and did not establish a substantial connection to British Columbia. They also contended that the claim under section 36 of the Competition Act could not succeed without an arguable breach of section 45, which they claimed was not applicable to conduct outside Canada.

Held: The Court of Appeal dismissed the appeal and upheld the class action certification. It found a substantial connection between the alleged conspiracy and British Columbia, establishing territorial jurisdiction. The court ruled that it was not plain and obvious that a claim under section 36 of the Competition Act was limited by section 6(2) of the Criminal Code or Libman v. The Queen.

Costs/Damages Awarded The document did not specify the total amount of costs or damages awarded in favor of the successful party.

Court of Appeals for British Columbia
CA48654; CA48657
Corporate & commercial law
Respondent