Western Digital Corp (WDC.O) has warned Toshiba Corp (6502.T) that the Japanese firm is violating a joint venture contract in plans to sell to its chip unit and urged that it be given exclusive negotiating rights.
In a strongly worded letter dated April 9, Western Digital, which operates a semiconductor plant with Toshiba in Japan, said the transfer of the venture's rights to a new chip unit which was split off recently without the U.S. firm's consent was a "very serious breach".
The letter, seen by Reuters, also said the U.S. firm would not sit idly by while Toshiba "runs roughshod" over its rights, although it did not threaten legal action. read the rest here