Monday, November 07, 2005
ZAP Files Legal Action Against DaimlerChrysler and Affiliated Companies
ZAP's Suit Relates to Converting and Marketing Daimler's ''Smart Car'' in the U.S.
SANTA ROSA, Calif.--(BUSINESS WIRE)--Nov. 1, 2005--Transportation pioneer ZAP (PCX:ZP) announced today that the Company will be proceeding with legal action against DaimlerChrysler (NYSE:DCX - News) and affiliated companies and individuals, serving a complaint that seeks in excess of $500 million in redress for a more than year-long campaign of misconduct perpetrated against ZAP by Daimler and Ulrich Walker, the then-CEO of its subsidiary Smart gmbh.
ZAP's complaint, filed on October 28, 2005 in the Los Angeles Superior Court, details a series of anti-competitive tactics, aimed at defaming ZAP and disrupting its third-party business relationships.
As alleged in the complaint, rather than share or promote ZAP's success in converting and marketing Daimler's high fuel-efficiency "Smart Car" in the U.S., Daimler sought to destroy ZAP; to capture its market share; and to discredit ZAP in the eyes of investors, regulators, journalists, suppliers, buyers, other third-parties, and the American public generally. As further alleged in the complaint, Daimler's misconduct was undertaken with the intention of stealing and profiting from ZAP's marketing plans, technologies, business relationships and know how.
ZAP's counsel, Eric M. George of Browne Woods & George LLP, based in Beverly Hills, California, stated:
"Not only has Daimler trampled on the rights of its progressive competitor, it has done so without conscience. Daimler's misconduct has made the American public the loser. With oil prices at an all-time high, and growing consciousness in the country about alternative-fuel transportation, America is ready to seize on the historic opportunities that ZAP is making available to the public."
ZAP anticipates proceeding to trial in this matter before the close of the year 2006.