Mahindra hits legal bump in US

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Even before the first Mahindra & Mahindra vehicles goes on sale in the US, the Indian vehicle major has hit a legal bump there. Global Vehicles – its American distributor, has sued M&M for the delay in launching its pick-up truck.

A PTI report says that Global vehicles has filed a law suit before an Atlanta District Court alleging that there has been ‘inordinate delay in launch of the truck’. The distributor says that close to USD 35 million has been spent in preparing for launching M&M’s pick-up truck through a network of 360 dealers. In its law suit, Global Vehicles has urged the court to prevent Mahindra from selling its vehicles through any other dealer or distributor.

When contacted, an M&M spokesperson says ‘Mahindra firmly believes these legal actions to be without merit and will vigorously contest these actions. As this matter is now under litigation, Mahindra would not like to comment further at this stage on these unfortunate developments. Mahindra remains committed to launch its products in the US market.’