Global Vehicles Responds to Mahindra’s Further Delay Comments

Global Vehicles USA, exclusive US importer for Mahindra vehicles, has issued a press release this afternoon regarding comments made by Mahindra & Mahindra president, automotive sector, Pawan Goenka regarding further launch delays of the India-built pickups.


The press release reads:
“ALPHARETTA, GA., July 8, 2010-It has been recently reported in the media Mahindra is claiming its pending litigation with Global Vehicles may delay the introduction of its vehicles to the United States market. This claim is both inaccurate and unfortunate. Indeed, in the litigation Global Vehicles seeks to compel Mahindra to honor its contractual obligations to obtain homologation of the vehicles and to begin shipping them pursuant to existing and long standing orders placed by Global Vehicles on behalf of its many dealers. Global Vehicles was constrained to take legal action as a result of Mahindra’s unjustifiable delay in making its vehicles available and to otherwise protect Global Vehicles’ dealers who have waited long enough for product. Global Vehicles and its dealers stand ready, willing and able to immediately begin selling Mahindra vehicles in the United States. All Mahindra needs to do is complete homologation and start delivering them. Thus any delay in entering the United States market rests exclusively with Mahindra and can in no way be attributable to the litigation or any actions of Global Vehicles.”

Global Vehicle’s statement lobs the ball back into Mahindra’s court. MP will continue to follow each volley.

Source: Global Vehicles

Breaking: US Mahindra Entry Depends On Lawsuit Outcome

"We are going as per (our) original plan for the launch of the pick-up truck in the US, but can't say on the actual time of launch, as it will depend on the outcome of the litigation," - Mahindra & Mahindra President (Automotive and Farm Equipment) Pawan Goenka


According to NDTV Profit, Mahindra is no longer committing to a December 2010 launch date for US pickup trucks. With an actual launch hinging on a lawsuit (filed by US importer, Global Vehicles) that Mahindra has previously claimed has “groundless”, US fans of the India-made, mid-size diesel pickups could find delivery postponed indefinitely.

Click here to read the article: Our US entry depends on outcome of lawsuit: M&M

Mahindra Files For Dismissal of Global Vehicles Lawsuit

According to GlobalAtlanta.com, Indian conglomerate Mahindra & Mahindra Limited has countered a lawsuit filed against them by US-based vehicle importer, Global Vehicles USA, Inc. On June 28th, Mahindra filed a request for dismissal of the lawsuit.


Georgia based Global Vehicles (GV) is the exclusive importer for a yet-to-be launched line of India-made Mahindra pickup trucks. On June 14th, GV filed a lawsuit in US district court against Mahindra for USD $35 million, claiming that Mahindra has repeatedly and purposely delayed the release of their US line of 30 mpg, diesel-powered pickup trucks.

Since news of GV’s lawsuit first broke, Mahindra & Mahindra’s vice chairman and managing director, Anand Mahindra, has publicly stated that the grounds of the lawsuit are baseless. It appears that this request for dismissal backs up those statements.

Mahindra is claiming that the dispute should be resolved in arbitration, not in a US federal court. Mahindra calls into question the jurisdiction of any US court over the Indian company’s agreement with GV. The filing also claims that Mahindra has not been properly served by Global Vehicles who has submitted paperwork to a US Mahindra subsidiary, and not directly to Mahindra in India.

Despite legal posturing by both parties, it appears that Mahindra still has not obtained EPA certifications for the US-bound pickups, nor have they formally registered trademark protection for the Mahindra TR20 and Mahindra TR40 names. The request for dismissal of the lawsuit does not address accusations of purposeful delivery delays claimed by GV, but does suggest that Mahindra would prefer to negotiate with Global Vehicles behind closed doors instead of in the public realm.

Stay tuned.

Source: GlobalAtlanta