A dispute between Navistar Inc. and its Ecuadorian distributor over whether the U.S. truck manufacturer can be forced to turn over documents to be used in litigation against a competing distributor belongs in arbitration, a Florida federal judge recommended Wednesday.
U.S. Magistrate Judge Lauren F. Louis said that an underlying arbitration agreement between Navistar and Motransa SA meant that the latter company’s petition had to be decided by an arbitrator. Motransa is seeking evidence relating to how the competing distributor, Austral Cia. Ltda., was able to allegedly muscle its way in and interfere with Motransa’s exclusive deal with Navistar in Ecuador.
Navistar, meanwhile, disputes that the deal was exclusive and says it was not breached.
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