DISPUTE * USA - Ford sues Navistar on truck engines
Breach of supply contract alleged
Chicago,IL,USA -The Chicago Tribune, by James P. Miller -12 Jan 2007: -- A contract dispute between Ford Motor Co. and Navistar International Corp. became public Thursday when the automaker sued Navistar in state court in Michigan for allegedly refusing to live up to terms of a long-standing supply accord... For a decade, Warrenville-based Navistar has been the sole supplier of the diesel engines that Ford puts into its heavy-duty pickup trucks... Now, however, the automaker and its key supplier have locked horns over the price Navistar is charging Ford, and also over the extent of Navistar's financial obligations in warranty claims involving its engine... Ford's claims are "totally without merit," a Navistar spokesman said, adding that the maker of trucks and diesel engines intends to "vigorously respond in court."...
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