Dina to sue Western Star for $110 million US
MEXICO CITY (Oct. 30, 2000) — Consorcio G Grupo Dina said Friday it filed a $110 million US suit in an arbitration court against Western Star Trucks Holding Ltd. for the cancellation of a contract to produce medium-duty trucks.
The contract was dropped in September after Western Star was acquired by Freightliner LLC, which already produces a full line of medium-duty trucks.
Freightliner has about 700 of the Dina-made vehicles, called the Solar Series, in inventory. Dina has said that the contract commits Western Star to buying at least 9000 units.
The cancellation was crippling for Dina, which had been experiencing financial troubles.
Dina said Friday it would seek the payment of damages caused by the violation of the contract, interest, and arbitration and legal costs.
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