The relationship between OEMs and brands that buy can be a bit tense once the OEM / ODM decides to create their own brand / products in a similar category. This happens a lot and the brand buyer usually has little recourse except to compete by building a better brand.

Example: Whirpool makes Kemore for Sears --> Sears built the #1 brand in white goods with Kenmore --> Whirpool came out with their own brand many years ago --> Kenmore is still made by Whirpool and there are other options, just not better options for Sears.

Wencor was a problem before EDIG set out on their own. You can imagine the tense nature this relationship has taken by now. Not pretty and not uncommon. This part I know well.

The bottom line is we do not know the facts about the purchase order placed with EDIG or why Wencor paid directly for the shipment to Maycom. It is hard to believe that Wencor paid for product they want to include in the law suit. Many brands visit factories to approve engineering changes or inspect the facility / staff.

In Korea, it is a very serious thing to go bankrupt...much more of a problem than in the US. The owner is basically banished and left with very little existence. So, I think Maycom`s owner will attempt to resolve the problem. There is no way to know what the outcome will be except to know that Wencor is going to be a minor problem with or without a law suit.

John