Bering Sues DaimlerChrysler, Hyundai

Bering Truck Corp. and Bering Truck Distribution LLC, Front Royal, Va., are suing DaimlerChrysler and Hyundai Motor Company for alleged antitrust violations.

The suit, filed in the U.S. District Court in Harrisonburg, Va., was filed after Bering was forced to shut down operations when Hyundai bailed out of its agreement with Bering to distribute Hyundai trucks in this country, apparently in favor of an agreement with DaimlerChrysler.
Bering is asking for upwards of $500 million in damages, including punitive damages, for what it says are violations of the U.S. antitrust laws and violations of Virginia law, including that state's business destruction statute.
The suit alleges, among other things, unlawful restraint of trade, market allocation, price fixing and malicious collusion to drive Bering out of business. Bering claims that DaimlerChrysler and Hyundai implemented their anti-competitive pact by having Hyundai wrongfully sever its relationship with Bering, leaving Bering "with no manufacturer support and nothing to build or sell."
Bering signed an agreement in 1998 to be the exclusive U.S. commercial truck distributor for Hyundai. While Bering was busy promoting the new name to the U.S. truck market and establishing a dealer network, DaimlerChrysler acquired a large stake in Hyundai. A worldwide commercial truck joint venture between Hyundai and DaimlerChrysler followed. In June 2000, Daimler Chairman Jurgen Shrempp announced that the joint venture would market Hyundai's trucks in North America through Daimler subsidiaries Sterling and Freightliner. This coincided with Hyundai's efforts to terminate Bering Truck Distribution as its U.S. distributor and Bering Truck Corp. as its licensee, according to Bering.
Officials at Hyundai and DaimlerChrysler were unavailable for comment.