By Robert Farago
August 18, 2008 -
CNNMoney reports that Chrysler has filed suit against Johnson Controls for "systematic and deliberate overcharges." The ailing American automaker claims the world's leading battery supplier "provided fictitious weight data under the guise that it could charge Chrysler more for the amount of lead used in its battery products. Chrysler had agreed to pay more to cover increasing lead costs." ChryCo's seeking to claw back $15m from Johnson. Or it could be trying to ensure that none of its suppliers gets too "feisty," in terms of demanding cash-on-the-nail for their goods or services. Or both. Or maybe Chrysler's Cerberusian masters reckon there's gold in them thar lawsuits. The Times of India intimates that Mahindra and Mahindra are looking to pay-off settle with Chrysler re: the Jeepish front grill on the Indian automaker's Scorpio SUV.
Subscribe to New Content Alerts6 Comments on “ Chrysler to Johnson Controls, Mahindra: You Talkin’ to Me? ”
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August 18th, 2008 at 10:24 pm
Isn’t a request for a jury trial a sign that they have a case only if the folks deciding it can’t really understand it?
August 19th, 2008 at 1:26 am
What kind of company the size of Cerberus bothers going to court over a $15M dispute with a supplier?
Are these guys complete morons?
August 19th, 2008 at 7:48 am
Mr. Horner,
You are correct. All we can hope for is Chrysler filing for Chapter 7. Yes, 7.
August 19th, 2008 at 10:38 am
I’m waiting for when these suppliers have diversified enough that they can tell Chrysler to take a flying leap when it comes time to renew the contract.
August 19th, 2008 at 11:09 am
This again? Didn’t they sue Hummer for the same thing, ten years ago? I swear they stand to make more money off of copyright infringement on that stupid seven bar grill than they do in actual sales. Talk about blood from a stone…
August 19th, 2008 at 5:49 pm
Suddenly the corner whore wants to be respected? are you kidding?