JA Solar agrees new supply deals with Hemlock to settle lawsuit

China’s JA Solar Holdings Co Ltd (NASDAQ:JASO) said today that company subsidiaries have signed new long-term polysilicon supply contracts with US firm Hemlock Semiconductor in order to settle a lawsuit.

Hemlock Semiconductor previously filed a lawsuit against JA Solar Technology Yangzhou Co Ltd over an alleged breach of obligations under a long-term polysilicon supply contract signed in May 2011. To settle the case, the two parties have inked new deals under which JA Solar agrees to buy solar grade polycrystalline silicon products from Hemlock Semiconductor Operations LLC on a quarterly basis until October 31, 2026.

JA Solar gave no further details about the new contracts.

The lawsuit against JA Solar Technology Yangzhou was filed in the Supreme Court of the State of New York. The Chinese company was served with court papers on April 18, 2016.

In 2013, Hemlock Semiconductor also filed a lawsuit against PV products maker SolarWorld (ETR:SWV) after the German company ceased purchases in 2012 under a long-term supply deal. The US polysilicon producer is owned by Dow Corning Corp.

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