Nissan Diesel Thailand, a dealer of trucks made by Volvo subsidiary UD Trucks, had filed suit in Thailand against Volvo, Pär Aronsson, a spokesman for the Swedish company, told AFP, without providing any further details.
“This is an ongoing case and we can’t comment,” he said.
Volvo’s annual report said that Nissan Diesel Thailand filed suit last November against the company and three of its employees, claiming its actions had led UD Trucks to “unlawfully terminate two agreements” with the dealer.
“Volvo considers that the plaintiff’s claim is of no merit,” the annual report said.
Aronsson said it was “quite common” that agreements with dealers “are terminated after we have made a purchase, in this case after we (in 2007) purchased Nissan Diesel,” which has since changed its name to UD Trucks.
Nissan Diesel Thailand is a wholly owned subsidiary of Singapore-based Tan Chong International.