Lenoxx Electronics (Australia) Ltd (“Lenoxx”) based in Victoria, Australia, is a seller of electronic products to retailers in Australia and New Zealand. In January 2016, Lenoxx purchase electric blankets from China Xinle Sanxingyuan Electric Appliance Co. Ltd(“Sanxingyuan”). Both parties agreed, as a condition of the purchase, Sanxingyuan would provide SAA Certificates for the electric blankets, covering the blankets, power cords and plugs.
In June 2016, Lenoxx required Sanxingyuan to provide products with new controllers, but Sanxingyuan failed to update the SAA Certificates. Between June and August 2017, Lenoxx received many customer complaints regarding faulty controllers and electric blankets that burned when used. After Lenoxx tested the burnt blankets, it discovered that Sanxingyuan failed to provide a new SAA certificate covering the controllers. Lenoxx had to recall all the blankets from its customers and compensate them for their damages, including recall costs, insurance and other losses.
Lenoxx sued Sanxingyuan in the Shijiazhuang Intermediate People's Court in 2020. In the first instance court, Sanxingyuan rejected Lenoxx's claim by providing evidence of a test report and also refused mediation. Anderson assisted Lenoxx with professional services to provide probative evidence and legal analysis, which was recognized by the court, which in its judgement ordered Sanxingyuan to compensate Lenoxx for its losses. Lenoxx received a judgement in its favor, providing it with compensation. Sanxinyuan appealed to the Hebei High People's Court, which sustained the Shijiazhuang Intermediate People's Court's decision.