Conergy takes MEMC to court over anti-competitive contract

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Acting fast on last week’s news that MEMC would not cancel the 10-year contract to supply solar wafers, Conergy is starting legal action in New York City. Although few details have been revealed over the specific reasons, Conergy believes court action is justified as there were a number of invalid clauses in the contract but in particular ‘anti-competitive contractual provisions’ that rendered the entire contract invalid.

MEMC has recently renegotiated two long-term supply contracts that provided for lower wafer prices but an increase in the supply amount. Conergy wanted to replace the current deal with a two-year supply agreement and lower prices. Conergy said that talks with MEMC had broken down over ‘various auxiliary conditions,’ without elaborating.

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Due to the current growing over supply of polysilicon and underutilisation of wafering capacity in the market, Conergy believes it has ample access to material required for production needs at its Frankfurt (Oder) module plant.

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