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Posts with tag Lawsuit

Ford reminds world that it didn't "willfully" violate wiper patent


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Engineer Bob Kearns had been granted a patent for a design of intermittent windshield wipers in 1967, two years before Ford introduced them in production. Unfortunately for Kearns, Ford had "developed" its own system rather than licensing Kearns' design. Needless to say, litigation ensued and it took until 1995 for the U.S. Supreme Court to finally rule against Ford and Chrysler and award Kearns $30 million. That story has now been turned into a major motion picture being released this week called Flash of Genius, and Ford wants you to know that the facts of the matter are much less dramatic than what the movie portrays.

While reminding people that the facts have been dramatized, Ford also mentions that a jury ruled it did not "willfully" infringe on Kearns' patent. That's not to say Ford and Chrysler didn't infringe – juries ruled that they did. It just wasn't "willful." Did Kearns ultimately win? That's hard to say considering how his life turned out, but he was vindicated. On the other hand, many owners of older English cars would argue that Joseph Lucas invented the intermittent windshield wiper, although again not willfully.

[Source: Ford]

Continue reading Ford reminds world that it didn't "willfully" violate wiper patent

ROUSH and Ford sued for making too many Blackjack Mustangs


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ROUSH announced the Stage3 Blackjack Mustang back in 2006, and in 2007 said it would make 100 of them. New Yorker Drew Conner bought Blackjack number two, spending almost $59,000 for his slice of limited edition Mustang pie. Only the glossy black 'Stang wasn't so limited after all: according to a lawsuit Connor filed in New York, Ford and ROUSH made another 100 Blackjacks in 2008.

Both Ford and ROUSH are named in the suit, and Connor has been joined by "at least 100" other Blackjack buyers. The plaintiffs' complaint is, of course, that the Blackjack's "value from scarcity and as collectors' items were and are dramatically less than the buyers had been led to believe their value would be."

But to make everything all better, the plaintiffs are asking for class action status, a jury trial, and... ahem... more than $12 million. That sounds like a lot, but say there were just 100 plaintiffs, that would be $120,000 per person, and would get them their money back plus a 100-percent premium for being misled... which might sound more reasonable. Or not. For the moment, both Ford and ROUSH have no comment on the litigation. Thanks for the tip, iOrange!

UPDATE: One point of clarification that's been bothering us is why Ford has been included in this lawsuit. All it did was build the Mustangs then sold them to ROUSH, which developed, manufactured and distributed the run of limited-edition Blackjack Mustangs.

[Source: Reuters]

Max Mosley launches more lawsuits against newspapers



Unwilling to recognize when genug is enough, Max Mosley is forging ahead with more lawsuits. After being awarded a £60,000 judgment (plus an additional estimated £1 million in expenses) against News of the World, the tabloid that broke the story of the FIA president's alleged sexual activities, Mosley is now launching a second lawsuit against the publishers. Whereas the previous lawsuit was on the grounds of invasion of privacy, the second action is for libel.

In addition to the follow-up suit against News of the World, Mosley will also be pursuing compensatory damages from German newspaper Bild, which Mosley claims repeated the story unchecked. The suit against Bild petitions for one million euros, plus an addition half-million from its online edition. The prostitute, known only as Woman E, who originally claimed the episode had a Nazi theme, has since recanted and revised her statement to the exclusion of any such connection.

[Source: Autosport, Photo by Peter Macdiarmid/Getty]

Former employee slaps Tesla with class action suit

Their plate may be filled with churning out Tesla Roadsters and developing the Model S sedan, but Tesla Motors can't seem to get a break from the lawsuits. First there was the tiff with transmission supplier Magna, followed by potential development partner Fisker, and now Tesla is facing a class action (it's not a class action lawsuit until a judge deems it so) lawsuit from former Director of Public Relations, David Vespremi. Vespremi ended up on the cutting room floor during the tornado that swept through the company ranks at the end of 2007 was let go prior to the layoffs in January of this year. Vespremi is trying to connect his firing to the layoffs, but according to Tesla's Darryl Siry, that's not the case -- his termination was a separate matter. The details of the lawsuit allege that Tesla Motors did not practice good faith or fair dealing, violated labor codes with unpaid wages and waiting periods, and utilized unfair business practices. The document also listed libel and slander due to the harsh words spoken from the mouths of executives to the media when referencing the former employees. Thanks for the tip Jan!

UPDATE: Darryl Siry of Tesla wanted to clear a few things up with the story. To begin with, a judge must certify a lawsuit as class action before it can be deemed as such. That hasn't happened yet. Additionally, the part of the lawsuit filed by David Vespremi that asks for class action status has nothing to do with libel, slander, or defamation. The only part of Vespremi's lawsuit that could be classified as "class" has to do with Tesla's arbitration and non-conciliation clause in his employment agreement.

[Source: San Mateo Court]

Tesla files suit against Fisker Automotive



As we recently reported, rumors have been swirling regarding Henrik Fisker's involvement with Tesla Motors and its upcoming electric sedan prototype known as the WhiteStar. As is often the case, there's apparently some truth to the scuttlebutt, as Tesla has filed a lawsuit claiming that Fisker Automotive is using stolen design ideas from Tesla sourced when Fisker Coachbuild was employed by the young EV automaker for the styling of its sedan.

According to Tesla chairman Elon Musk, "We could not use the Fisker styling. The styling was substandard compared to what he unveiled for his product. He gave us an inferior work product, and it's obvious why." In the process of working for Tesla, the lawsuit contends that Henrik Fisker and a few of his associates stole design ideas and confidential information related to the design of hybrid and electric cars. Fisker has since announced his upcoming Karma hybrid-electric sedan. Tesla seeks to have Fisker Automotive stop using any design ideas garnered from its relationship with Tesla, and any money paid to Fisker Coachbuild returned along with other unspecified damages.

Gallery: First Drive: Tesla Roadster


Gallery: Fisker Karma


[Source: The New York Times]

Canadian leasing companies sue gov't and automakers over high car prices



Due to a slumping greenback, the Canadian Loonie and the U.S. dollar are worth roughly the same amount, but the price of most new cars in Canada haven't made the adjustment. Two leasing companies are suing the Canadian government, BMW Canada Inc., Mercedes-Benz Canada Inc. and Mercedes-Benz USA LLC for a cool billion dollars, but not because of the uncompetitive pricing in the United Province.

The leasing companies have filed suit because strict import rules are preventing the companies from buying cars in the U.S. and selling them in Canada. The many fees, procedures and restrictions allegedly resulted in a 20-30% increase in the sale of more expensive Canuk cars. One example is a $350 admissibility charge to import a Bimmer, and a far more ridiculous $500 fee will be levied for bringing over a BMW that has received a recall repair in the States. The leasing companies allege the all those fees and fines enable BMW and Mercedes to sell vehicles that cost between 20% and 35% more than similar US models.

Rather than these two leasing companies, it seems like customers in Canada are the ones who are losing out the most with high vehicle prices. At least the Canadians still have plenty of other cars and trucks that they can import from the U.S.

[Source: Report On Business via Winding Road]

Navistar suing Ford... again

Ford and Navistar are once again going to court over the automaker's plans to develop a 4.4L diesel engine inhouse for the F-150. The original lawsuit was thrown out last June, with the judge ordering the two corporations to iron out their differences in mediation. Since no progress has been made outside the legal system, Navistar has refiled its claim. In the suit, Navistar is claiming the light-duty diesel engine violates the agreement once made between the two companies, which states that Navistar be Ford's primary supplier of oil burners. Navistar is also alleging that the 4.4L diesel that Ford's currently developing is in fact International's 4.4L Lion V8 project that cost Navistar $11 million to develop. It's hard to pinpoint how or why Navistar is so sure Ford is using the Lion project 4.4L, considering that the supplier has received no official specs of the engine from Ford.

We're not exactly Dr. Phil, but it appears that Navistar has a bone to pick with Ford. Considering the fact that Ford isn't using its long-time supplier to develop and produce its light-duty diesel engine, the Dearborn, MI automaker is none too pleased with Navistar, either. We think the judge should order Navistar's fugly new International Lonestar to take on a pair of F-450s in a concrete cage match – the winner gets the contract for the F-150 diesel engine.

[Source: Automotive News, subs. req'd]

Volvo found guilty of manslaughter, fined



Two children tragically lost their lives when French driver Catherine Kohtz lost control of her Volvo 850. The 1999 incident, which Kohtz blamed on a loss of braking ability in her Volvo, has led to French courts handing down a finding of manslaughter. The guilty verdict against Volvo also carries an €200,000 fine, though Volvo holds that there wasn't anything wrong with the car's braking system and will likely appeal. Driver Kohtz was fined €300 and also sentenced to a six-month jail term, which was suspended.

Kohtz's accident was initially attributed to reckless operation, and tensions in the town of Wasselonne have been stirred by the circumstances of crash. Rumblings of Kohtz, relatively wealthy, having bought her way out of a more serious outcome for the death of two ten year olds from lesser means have been dividing the town in eastern France. An investigation determined that the brakes in the Volvo 850 suffered from a problem known to Volvo. Rather than recall 180,000 850s, Volvo is alleged to have quietly asked its dealers to fix a rubber pipe prone to rupture or detachment, causing a loss of braking ability. An investigating magistrate contended that service documents instructing dealers how to repair the problem were overly vague, leading to an improper and ineffective repair on Kohtz's car. For a company with such an emphasis on safety, its surprising that it would try to cover up a major flaw in such a crucial system. Volvo argued that the service documents that were seized outline an innocuous fault, and that something else like a loose water bottle behind the pedal was to blame.

[Source: BBC via Winding Road; The Independent]

Carroll Shelby files lawsuit against SAAC to enforce agreement


From the "Don't Tick Off Carroll Shelby Department" comes the continuing saga which is the SAAC vs. the performance Mustang patriarch. We told you earlier about the feud between Shelby and SAAC owners Rick Kopec and Ken Eber over the cancellation of the Shelby club's license, and as of yesterday, the contract officially expired. Since the SAAC's license is now void and Shelby owns the trademark to the SAAC name, the Texas tornado has filed a lawsuit to ensure Kopec and Eber follow the original 1999 contract both before and after its termination. That includes everything from ceasing to use the Shelby name to handing over financial documents over to Shelby Licensing.

Shelby explained his reasoning for pulling the license back in December, stating that Kopec and Eber had ignored Shelby's requests to follow the licensing agreement. Shelby also accused the two of selling memorabilia that was loaned to the club by Shelby, which may explain why Shelby wants to inspect the club's books. To prove that this whole mess wasn't about money, Shelby has offered other clubs the use of his name for $1 per year. We're hoping that the 5,000 members of the SAAC can find a new club to find home, but at $1 per year, the stranded members can start their own club. Check out Shelby's press release after the jump.

[Source: Shelby Licensing]

Continue reading Carroll Shelby files lawsuit against SAAC to enforce agreement

Lexus goes after another porn-star...seriously

Back in June, we brought you news that Toyota was in the process of suing a pornography firm for copyright infringement. Apparently the Japanese automaker didn't appreciate that adult film star Lexus Cash was using its luxury division's handle as her stage name and for her website. Evidently unwilling to stop its litigation campaign, Toyota is now turning its lawyers loose on a gay porn actor who also uses the name Lexus.

According to latest reports, the Japanese automaker's lawyers in DC sent a cease-and-desist letter to EBoys Studios in Switzerland. The EBoys honcho insists that his performer chose the name because of its association with Greek mythology, and not with the automotive brand, and that the company will not cave to the carmaker's demands to recall the two flicks it has produced with the actor using that name.

This has to be the funniest bit of news surrounding Lexus since that peacock had its way with one of their exhaust pipes.

[Source: Inside Line]

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