DES MOINES, Iowa (May 21)—Michelin North America Inc., its Michelin Retread Technologies Inc. subsidiary and Bandag Inc. have reached a settlement in their ongoing litigation concerning competition in the retreading arena.
As a result, all parties have been dismissed from the litigation, Michelin and Bandag said, and the parties have agreed to dismiss all financial claims against each other.
The agreement brings to a close the trial in the U.S. District Court in Des Moines, Iowa, that began May 13.
The case began in 1999 when Bandag filed a lawsuit against Michelin alleging it tried to eliminate Bandag as a competitor in the retreading market. Michelin countersued, claiming Bandag holds a monopoly on the retreading industry. Greenville, S.C.-based Michelin also named Bridgestone/Firestone in the suit, alleging BFS and Bandag conspired to prevent retreaders from adopting Michelin's retreading system by offering financial incentives.
Bandag had been seeking at least $8.75 million in damages against Michelin plus punitive damages, according to the Muscatine, Iowa-based retread supplier's 10-K report. Michelin was seeking $146.1 million in damages against Bandag and Bridgestone/Firestone plus treble damages, the report stated.