An international court in London handling the arbitration which Suzuki brought against Volkswagen will not make a decision before 2013, VW revealed in its latest annual report. The German carmaker said that the claims are "unfounded." It has filed counterclaims, the automaker disclosed. On November 24, Suzuki disclosed that it began arbitration at the London court as part of efforts to end its alliance with VW.
The action also aims to force the German vehicle manufacturer to sell back its 19.9% share in the Japan-based company. Each of the automakers has accused the other of breaching their cooperation agreement. In that deal, VW is supposed to have greater access to the vehicle market in India while Suzuki will be supplied with technology.
However, they have been in argument since that time when VW identified the Japanese company as an "associate" in its 2010 annual report. According to Suzuki Executive Vice President Yasuhito Harayama in November, the Japanese automaker is ready for the arbitration process to take as long as two years to complete.