HEERLEN, Netherlands (June 15, 2010)—DSM Elastomers said it will pay $25 million to settle a long-running antitrust dispute with a group of customers.
DSM continues to say it was not at fault.
The action relates to purchases of EPDM between 1997 and 2001, in which allegations were made that certain suppliers of EPDM jointly collaborated to fix prices.
A DSM spokesman was unable to say if the settlement would be global in nature, or if it applies only to the U.S.
The EPDM class action, pending in the U.S. Court for the District of Connecticut, was vigorously litigated by both sides. DSM is now offering the settlement in exchange for a commitment from its customers that they will not enter into any further, related litigation.
The proposed class action settlement is subject to court approval. If approved, and following due notice to the class members, the class action will be dismissed with prejudice and all claims asserted in the class action against the DSM defendants will be released.
DSM N.V. is currently negotiating the sale of its elastomers subsidiary. Pending litigation is often a stumbling block to the sale of a business, as it presents an unknown risk to potential buyers.