SAN FRANCISCO--(BUSINESS WIRE)--In a legal challenge that could have multi-billion-dollar consequences, Tokyo-based BWB Inc. is pursuing a patent infringement lawsuit against global e-commerce technology giant Alibaba Group. The David vs. Goliath lawsuit, should it be decided in BWB’s favor, could set a legal precedent in e-commerce technology as the operational foundation of Alibaba and other dominant retail sites.
On November 15, 2023, BWB filed a complaint for patent infringement in U.S. District Court for the Northern District of California, accusing Alibaba of infringing on four of BWB’s e-commerce patents in the U.S., which the company also holds in Japan, South Korea, Taiwan, Indonesia, Singapore, Russia and Brazil. These technology patents were issued to BWB CEO and inventor Ryutaro Nishiura between 2019-2023. According to the lawsuit, BWB asked for an injunction against Alibaba and its logistics unit Cainiao, as well as Tmall operator Taobao China Holding LTD.
BWB, founded in Japan in 2015, holds multiple patents in international e-commerce, including a registration-type ordering system for overseas products, in addition to developing innovative advancements for the world’s logistics network system. These systems help merchants pre-register goods at customs at a pre-determined tax rate and helps customers pay the duties at the time of the purchase, ensuring delivery.
Previously, BWB filed suit in Japan for alleged infringement of IP rights, and a trial is currently underway in the Tokyo District Court, pitting BWB against defendants Alibaba Japan, Taobao China Holding Co. Ltd. and Hangzhou Cainiao Smart Logistics Network Ltd. The US trial date is set to begin on Feb. 13.