Thursday, February 17, 2011

GV Drops Lawsuit Against Mahindra, Will Focus on Arbitration

Autoblog reports (via Automotive News) this morning that US Mahindra pickup distribution partner, Global Vehicles USA, Inc (GV) has withdrawn their US lawsuit against Mahindra & Mahindra Ltd over failure to provide TR20 and TR40 diesel-powered, compact pickups for US sales.

Apparently the lawsuit was dropped because the UK-based arbitration panel refused to rule on the case while an active lawsuit continues in the US. It remains to be seen how much more weight an arbitration ruling in favor of GV in the UK will carry over a win in US courts.

GV CEO, John Perez, is also claiming that the EPA data published last week does not reflect the 30 mpg figures that GV estimates the 2-wheel-drive TR20 pickups will achieve. It is unclear why the EPA only published data for the 4x4 TR40 pickup and not the supposed economy champ, 4x2 TR20. A 40% difference in fuel consumption between the two models seems like an incredible feat, but then it was GV who coordinated all of the US test vehicles and has first hand experience with Mahindra pickups on US roads.

Source: Autoblog

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