DCC expects to get €14.8m in damages

BUSINESS support services group DCC is confident it will be paid the €14.8 million in damages it has been awarded by the High Court in London against a Taiwanese public company.

Yesterday, Mr Justice Langley delivered his judgment in favour of DCC’s subsidiary DMA against three defendants, Pihsiang Machinery Manufacturing Company Limited, its chairman and major shareholder Donald Wu and his wife and company director Jenny Wu.

DCC chief executive Jim Flavin commented yesterday: “Today’s judgment is an endorsement of the strategy, marketing and distribution expertise of DCC Healthcare and its subsidiary DMA that has led to growth from 12% to 19% in Shoprider’s share of the European mobility scooter market over five years”.

The action arose out of the breach of a long-term supply agreement under which the Taiwanese company supplied battery powered Shoprider scooters to DMA on an exclusive basis for the European market.

DCC Healthcare subsidiary DMA supplied retailers with close to 1,300 of the scooters annually which retailed for around €1,500 each.

DCC Healthcare managing director Morgan Crowe said: “We have taken very careful steps to enable the forceability of the award in Taiwan, should the need arise.”

DCC has now sourced a new supplier, KYMCO, and is currently launching a new range of powered mobility scooters for the European market under a DCC-owned brand name DMA Strider.

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