Ohio state court awarded $2 billion in damages to dealers who sued Ford

Article by Christian A., on June 11, 2011

A group of commercial truck dealers, who filed a suit against Ford Motor Co. in 2002, was awarded $2 billion in damages by an Ohio state court. The Court of Common Pleas for Cuyahoga County, Ohio, favored the dealers, saying that Ford overcharged some dealers in its program that offered unpublished discounts.

Westgate Ford Truck Sales in Youngstown, Ohio, was represented by James Lowe, of the law firm Lowe, Eklund, Wakefield and Mulvihill, based in Cleveland, Ohio.

Lowe said “the law and the facts are what they are." In last Friday’s ruling, Judge Peter J. Corrigan said that Ford made the dealers pay a total of $800 million more than they should have for almost 475,000 medium- and heavy-duty trucks, such as tractor-trailers and bulldozers.

An interest of $1.2 billion was calculated and added to the total damages. The court based this amount on the formula used by a jury in February to award $4.5 million to Westgate Ford, the lead plaintiff in the lawsuit.

Ford had said that it will file an appeal to reverse this decision, which had been certified as a class action on behalf of over 3,100 dealers across the nation.

Ford spokesman John Stoll said that “significant legal errors” were committed by the trial court. He said that Ford continues to assert that the dealers weren’t harmed by the CPA program. Rather, Ford believes that the dealers received significant benefits.

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Topics: ford, united states

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