JASPER, Ga. (Feb. 18, 2004) — A Georgia tire dealer has settled a $5 million price discrimination lawsuit against Cheng Shin Rubber USA Inc.
Joey Roland, owner of Jasper-based Discount Tire and Parts Inc., had filed suit against Cheng Shin in 2002 for alleged price discrimination, breach of contract and fraud. His suit claimed that Cheng Shin had promised him sole distribution rights for its Maxxis brand in northern Georgia then awarded those rights in a written contract to Doraville, Ga.-based Tri-State Tire. The lawsuit also alleged that Cheng Shin had discounted prices to Tri-State and other large distributors but not to Discount Tire.
Terms of the settlement were undisclosed, though Mr. Roland said the matter “was settled to the satisfaction of both parties.”
Maxxis International, Cheng Shin's North American unit in Suwanee, Ga., declined to comment on the settlement.