In a new lawsuit, Huawei Technologies Co. is accused of conspiring with the Chinese government to “wrongfully dominate” the telecom equipment market by forcing onerous terms on those seeking to use its intellectual property.

ADVA Optical Networking SE’s North American unit filed the suit Monday, in Texas, alleging the Chinese company will not license its technology on “fair, reasonable and non-discriminatory” terms, as the Telecommunication Standardization Sector of the International Telecommunication Union requires.

The holder of the largest portfolio of patents on 5G technology, Huawei announced two years ago, it intended to begin charging “reasonable” fees to other companies to gain access to the technologies. The move was widely seen as an attempt to generate revenue following the imposition of sanctions on the company, in the US and elsewhere, due to its relationship with the government of China.

A maker of network equipment, ADVA said it wishes to license Huawei patents, to be able to comply with international standards for optical transport networks and Datacom, however Huawei is demanding “grossly excessive or supra-competities royalties” and is also demanding the company pay for additional patents, which are not necessary to meet international standards. The suit also alleges Huawei has infringed on ADVA patents.

The suit goes on to allege that Huawei has knowingly made false representations to ADVA, refused to offer information in a timely manner, and failed to offer access to its patents at a reasonable rate, as required by law. ADVA states that all of these actions, “are part of a conspiracy by Huawei and its worldwide affiliates, in conjunction with the Chinese government, to wrongfully dominate and control the market for telecommunications equipment.”

Huawei has not commented on the lawsuit.

The case is ADVA Optical Networking North America, Inc. v. Huawei Technologies Co., 2:23-cv-00201, US District Court, Eastern District of Texas (Marshall).