Last November, NICHIA CORPORATION filed a lawsuit claiming that certain white LED-application products marketed by Argos and purchased from third-party Asian manufacturers infringed NICHIA's European patents. As part of the lawsuit, Nichia sought damages and an injunction against further infringement. Nichia claims that the products infringe its European Patents (UK) EP 0952 617, EP 0622 858 and EP 0936 682. The parties have been able to amicably resolve their differences. As part of the resolution, though without any admissions, Argos and Homebase have made a payment to Nichia and have agreed to enter into a business arrangement.

NICHIA gives serious consideration to the protection of its intellectual property and will vigorously enforce its intellectual property rights in any country. Having conducted enforcement actions in Asia, Japan and US, it is now enforcing its rights in Europe. Argos, maintains its commitment to respecting the intellectual property rights of others.