M&M surely loves remaining in news. This time though, it is for the wrong reason. It may be noted that the largest utility vehicle maker in India and the largest truck manufacturer in the world has been postponing the launch of its products in the US market since quite some time now. This has surely not gone down too well with the dealers the automaker has appointed in US and these dealers have filed a lawsuit against M&M for these delays, misrepresentation and conspiracy. These have allegedly caused the dealers a loss of about $60 million
As per the case filed, M&M has failed to meet their promise that their light trucks and SUVs were ready for delivery. However, the consignments of the above have not reached the dealers for sale in US market yet. The dealers say that M&M delayed some of the required paperwork for the sale of their vehicle even when it had charged the dealership fees in 2004. A case has been filed against Mahindra and Mahindra Limited and Mahindra USA in the US District Court in Atlanta by dealers in New Hampshire, Florida, California, New Jersey and Washington.
FB for connecting on issues like this!!! That is a first!!!
Press Statement
Mahindra refutes all allegations of US dealers.
We have seen the press release issued by the legal firm of Diaz Reus and Targ which claims to represent some US automobile dealers in a suit apparently filed on June 4, 2012 in the US District Court in Atlanta, Georgia against Mahindra & Mahindra Ltd. and Mahindra USA Inc.
We cannot comment on this as the matter is in the courts but we would like to state that some dealers had earlier filed a suit against Mahindra and Global Vehicles in the US District Court in Missouri. The Missouri Court dismissed all claims against Mahindra in that suit. Significantly, the Missouri Court also ruled that Mahindra could not be held liable for any action of Global Vehicles with respect to its dealers.
In a separate related development, an International Arbitral tribunal has in February 2012 dismissed similar allegations and claims against Mahindra made by Global Vehicles. Mahindra is in the process of enforcing that arbitration award.
Mahindra unequivocally denies all allegations of fraud, misrepresentation and conspiracy.
For further information please contact:
Ms. Roma Balwani
Senior Vice President & Group Head, Corporate Communications.
Mahindra & Mahindra Ltd.
Phone: (+91-22) 2490 1441.
Fax: (+91-22) 2490 0830.
Email: balwani.roma@mahindra.com
Press Statement
Mahindra refutes all allegations of US dealers.
We have seen the press release issued by the legal firm of Diaz Reus and Targ which claims to represent some US automobile dealers in a suit apparently filed on June 4, 2012 in the US District Court in Atlanta, Georgia against Mahindra & Mahindra Ltd. and Mahindra USA Inc.
We cannot comment on this as the matter is in the courts but we would like to state that some dealers had earlier filed a suit against Mahindra and Global Vehicles in the US District Court in Missouri. The Missouri Court dismissed all claims against Mahindra in that suit. Significantly, the Missouri Court also ruled that Mahindra could not be held liable for any action of Global Vehicles with respect to its dealers.
In a separate related development, an International Arbitral tribunal has in February 2012 dismissed similar allegations and claims against Mahindra made by Global Vehicles. Mahindra is in the process of enforcing that arbitration award.
Mahindra unequivocally denies all allegations of fraud, misrepresentation and conspiracy.
For further information please contact:
Ms. Roma Balwani
Senior Vice President & Group Head, Corporate Communications.
Mahindra & Mahindra Ltd.
Phone: (+91-22) 2490 1441.
Fax: (+91-22) 2490 0830.
Email: balwani.roma@mahindra.com
m and m will loose.
m and m will loose.