Foxconn sues Creative for $500,000

SINGAPORE - Foxconn Technology Group's Singapore unit has sued Creative Technology for failing to pay about $500,576 for supplies and services that Foxconn, the world's biggest contract manufacturer of electronics, says it provided.

Foxconn Singapore says Creative, the maker of the Zen music player and Ziio tablet computer, has repeatedly failed to make payment and has not given any "substantive" reason for its refusal, according to a lawsuit filed with the Singapore High Court.

Creative claims in court papers that Foxconn is not entitled to any payments because there are no contracts with either Foxconn or its flagship, Hon Hai Precision Industry. Foxconn also refused Creative's request for a discount, the Singapore-listed company said.

A hearing is scheduled for Dec 3.

Creative shares fell 0.5 per cent to $4.01 yesterday on the SGX, extending its decline this year to 38 per cent.

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