As The Detroit News reports, U.S. District Judge Paul Borman has ruled FCA does not have to immediately turn over documents to GM that it had requested. Borman said the automaker can delay releasing the documents while he determines whether or not the case should be thrown out. FCA filed to have the case dismissed last month, saying it was flawed and featured “hyperbolic claims.”
GM filed a federal racketeering case against FCA last November, accusing the automaker of bribing UAW officials in order to get a favorable deal with the union under the 2011 and 2015 national agreements with the Detroit Big Three. GM’s case also alleged FCA did this with the intent of weakening GM’s business and increasing the chances that it would enter a merger with FCA. Former FCA CEO Sergio Marchionne had previously been looking to merge FCA and GM together and failed to convince GM CEO Mary Barra to do so back in 2015.
GM spokesman Jim Cain said this week the automaker remains “confident in the merits of our case, which is grounded in the long-running conspiracy that FCA orchestrated.”
“We look forward to promptly proceeding with discovery following resolution of their motion to dismiss,” he added.
According to The Detroit News, GM has also demanded the UAW overturn documents as part of the case, including 1.9 million documents that were recovered by the FBI as part of its corruption investigation into the union. With Borman’s decision, the union and other nonparties involved in the case will not have to overturn any documents to GM until a decision is made on whether or not to have it dismissed.
In a statement, FCA said it was “pleased with the judge’s decision to deny General Motors’ motion seeking immediate discovery,” and also added that the case was “meritless and malicious.”
Source: The Detroit News