English Arabic Armenian Azerbaijani Chinese (Simplified) Chinese (Traditional) Czech Danish Dutch Estonian Filipino Finnish French Galician Georgian German Greek Hindi Hungarian Icelandic Indonesian Italian Japanese Korean Latvian Lithuanian Malay Maltese Norwegian Persian Polish Portuguese Russian Slovak Slovenian Spanish Swedish Thai Turkish Ukrainian Vietnamese

DB Schenker sues for $billions, sued for $millions

COLOGNE: Deutsche Bahn says its logistics subsidiary DB Schenker AG is claiming damages and accumulated interest that could top US$3.0 billion from airlines it says operated a "global price-fixing cartel" between 1999 and 2006.

According to Christopher Rother, head of Regulatory, Competition and Anti-Trust for the state-owned railway and logistics group, the company wants US$350 from a U.S. ruling – which he said could rise to US$1.1 billion with triple damages – and a further US$2.25 billion from a German court.

DB Schenker lawsuit USANoting that the defendants are "jointly and severally" liable, Rother hopes the pressure of a single airline being hit for the whole amount might encourage an out-of-court settlement.

DB Schenker says it is suing Air France, KLM, Martinair, Cargolux, Qantas, SAS and All Nippon Airways in New York; and Lufthansa, British Airways, Singapore Airlines, Swiss International Airlines, Cargolux, SAS, Air Canada, Cathay Pacific, Japan Airlines and LAN Airlines in Cologne.

Citing the European Commission decision in November 2010 to fine most of the same airlines €799.445 million for operating a cartel that affected air cargo within the European Economic Area, Rother said German courts are obliged to abide by the same ruling: "We're not talking about whether the airlines are guilty; that has already established throughout the world," he declared.

DB Schenker has included Lufthansa and Swiss in its German lawsuit despite Lufthansa's "whistleblower" immunity from the original European Commission prosecution.

Lufthansa Cargo says an expert opDB Schenker Germany lawsuitinion subsequently hired by the two airlines concluded the cartel did not inflict any actual damage on customers: "Even if there were damages (i.e. allegedly higher cartel prices), the court will have to examine whether the plaintiffs did not pass them on to their own customers (in the case of the freight forwarders) or whether they were indeed passed on to them (in the case of the final customers)."

Rother said the new court filing is because Deutsche Bahn "is left with little choice" after years of trying to settle with the airlines. "It is particularly important to the German taxpayer," he added. "All our suppliers should know that when they try to defraud us, we make sure they don't get away with it."

DB Schenker sued

Deutsche Bahn says it filed its U.S. complaint in the Eastern District of New York – the same place where DB Schenker is a defendant in a class action cargo cartel case brought by shippers against a large group of freight forwarders.

According to court papers, the company "is a defendant as to six (6) alleged conspiracies: Security Surcharge, New Export System Fee (NES), Currency Adjustment Factor (CAF), Peak Season Surcharge (PSS), Air AMS and Ocean AMS. 90 [ninety] percent of the net settlement proceeds from Schenker will be distributed pro-rata to qualified class members who paid any of such surcharges to any defendant named in such conspiracies, whether it is a settling defendant or not".

DB Schenker has now agreed to pay US$8.75 million of a US$178 million forwarder settlement with shippers. Rother declined to say how much the company wanted from the airlines in any similar pre-trial deal.

News

Written on 20/07/2017, 22:27
america-s-largest-trade-gateway-aims-for-near-zero-emissionsSAN PEDRO BAY, CA: July 19, 2017. The ports of Los Angeles and Long Beach, America's two largest ports, have published a plan to reduce trucks and...
Written on 19/07/2017, 17:41
post-brexit-britain-to-rely-on-emerging-marketsBAAR, Switzerland: July 19, 2017. As Britain's Conservative government acknowledges the one-time cost of leaving the EU could be £66 billion, Agility...
Written on 18/07/2017, 18:26
politics-not-economics-key-to-inequality-says-researchBOSTON: July 17, 2017. Research by Oxfam suggests the poorest half of the world's population has received one percent of the total increase in global...
Written on 14/07/2017, 19:08
first-circular-economy-msc-launchedCRANFIELD, UK: July 14, 2017. Cranfield University is launching the world's first MSc course on the circular economy in October. The part-time...
Written on 14/07/2017, 16:23
delta-q2-cargo-revenue-upATLANTA: July 14, 2017. Delta Air Lines has reported a second quarter (Q2) 2017 net profit of US$1.22 billion on revenue of US$10.79 billion, compared...
Written on 13/07/2017, 19:28
100-companies-can-save-the-planetLONDON: July 10, 2017: New research from the Carbon Disclosure Project (CDP) reveals that 71 percent of all greenhouse gas emissions (GHGs) since 1998,...
Written on 12/07/2017, 18:29
turkey-continues-airlift-to-qatarISTANBUL: July 12, 2017. A report from Reuters says Turkey has sent 197 freighter aircraft, 16 trucks and one ship to Qatar since the political crisis...
Written on 09/07/2017, 20:51
emirates-airline-wins-on-waterAUCKLAND: July 06, 2017. Emirates Team New Zealand returned to a hero's welcome after winning the 35th America's Cup 7:1 against defending champion Oracle...
Written on 07/07/2017, 20:44
lufthansa-cargo-to-gain-from-eu-japan-dealBRUSSELS: July 06, 2017. On the eve of the G20 summit, the EU and Japan have sent a signal to protectionists by agreeing in principle to a deal covering...
Written on 07/07/2017, 19:39
british-business-calls-for-brexit-common-senseLONDON: July 07, 2017. The UK Confederation of British Industry (CBI) says in order to protect jobs and trade flows the UK should remain in the Single...
Written on 07/07/2017, 17:04
uk-customs-approves-cyber-attack-fail-safeLONDON: July 06, 2017. The British International Freight Association (BIFA) says it welcomes the UK government's decision to support 'CCS-UK Fallback', an...
Written on 07/07/2017, 15:44
africa-tops-airfreight-demand-in-mayGENEVA: July 05, 2017. IATA says the global airfreight market rose 12.7 percent in May compared to the same month last year, as capacity rose 5.2 percent...
Written on 06/07/2017, 20:51
flying-cheetah-drone-wins-amazon-competitionCAMBRIDGE, UK: July 05, 2017. 'Hannah M' from Ballymena, Northern Ireland has won the Amazon/UK Civil Aviation Authority (CAA) 'Design a Drone'...
Written on 30/06/2017, 21:01
ethiopian-airlines-makes-room-for-more-flowersADDIS ABABA: June 29, 2017. During the second ICAO Global Air Cargo Development Forum this week, Ethiopian Airlines opened its new air cargo terminal with...
Written on 29/06/2017, 22:17
facing-death-from-starvationHARGEISA, Somaliland: June 29, 2017: Save the Children says more than 20,000 children across nine districts in Somalia risk starving to death unless the...
Written on 29/06/2017, 20:13
uk-logistics-industry-threatenedTUNBRIDGE WELLS, UK: June 29, 2017. Britain's Freight Transport Association (FTA) has warned that without EU workers after 2019, the country's logistics...
Written on 26/06/2017, 21:45
making-the-best-of-an-ipoHANGZHOU, China: June 26, 2017. Best Inc., a logistics company backed by the Alibaba Group, has applied for a listing on the New York Stock Exchange and...
Written on 23/06/2017, 20:22
xpo-hit-by-port-strikeLOS ANGELES/LONG BEACH: June 23, 2017. Port and rail drivers working as independent contractors for XPO Cartage, part of XPO Logistics, began a strike...
Written on 21/06/2017, 22:44
more-disasters-but-less-moneyGENEVA: June 21, 2017. The United Nations says it needs US$23.5 billion in 2017 to provide humanitarian assistance to a record 141 million people in 37...
Written on 21/06/2017, 20:19
switzerland-remains-the-world-s-most-innovative-countryGENEVA: June 21, 2017 – Switzerland, Sweden, the Netherlands, U.S. and UK are the world's most innovative countries according to a new report by produced...

- powered by Quickchilli.com -