Sharp on January 24 filed a complaint with the US International Trade Commission against Taiwanese company AU Optronics and certain customers of AUO that manufacture LCD TVs and LCD monitors. Sharp also filed a lawsuit against AUO at the United States District Court for Delaware. Sharp said that it intends to file additional lawsuits in the event it confirms that other products incorporating AUO's LCD panels or LCD modules infringe its patents.

In the two complaints, Sharp alleges that the LCD panels and LCD modules manufactured by AUO, and any LCD televisions and LCD monitors sold by AUO's customers in the US that use these LCD panels and LCD modules, infringe upon certain patents owned by Sharp which relate to LCD technology.

The patents are related to a liquid crystal display apparatus for controlling alignment of the liquid crystal in order to improve viewing characteristics; a method of fabricating a liquid crystal display device including a pixel electrode having fine slits; a liquid crystal display device having a phase compensation element to achieve a wide viewing angle; an LCD device having a wide viewing angle; circuitry that may be advantageous in that flickering or the like may be reduced and display characteristics improved; an LCD device and its drive method, and in particular to a driving technique which improves the response time to achieve better picture quality and an active matrix substrate for use in connection with a display device such as a liquid crystal display.

At the ITC, Sharp seeks an order prohibiting imports and sales of these products in the US. At the US District Court for Delaware, in addition to this, Sharp seeks compensatory damages with AUO as the only defendant.

AU Optronics has declined to comment regarding the infringement lawsuit from Japan-based Sharp as the company in the quiet period prior to its investors conference.