PrimeSource, Huttig end long court battle
PrimeSource claimed the Huttig-Grip business attempted to put an end to the Grip-Rite brand.
PrimeSource and Huttig have concluded their long court battle stemming from the formation of latter’s Huttig-Grip business division.
A stipulation for dismissal was reached in the U.S. District Court for the Norther District of Illinois Easter Division on July 3. The case originated in December 2016.
All of the claims, counterclaims, and defenses in the case have been dismissed with both companies reaching a confidential settlement, according to court documents obtained by HBSDealer.
PrimeSource took Huttig to court in 2016 following the creation of Huttig-Grip, which included the hiring of former PrimeSource CEOs Kenneth Fishbein, David Fishbein, Mona Zinman, and Robert Furio, who were also named defendants in the case.
In November 2016, St. Louis, Missouri-based Huttig Building Products formed a new division to expand its private label construction fastener and specialty building products line.
Fastener manufacturer PrimeSource, based in Irving, Texas, alleged that the four defendants’ actions violated non-use, non-disclosure, non-compete, and non-solicitation agreements each had with PrimeSource. The suit also alleged that the Huttig-Grip hires downloaded PrimeSource information onto external memory devices or stole information from the company by emailing or downloading to cloud servers to facilitate Huttig competing with PrimeSource.
Additionally, PrimeSource claimed that the defendants were attempting to destroy its Grip-Rite fastener brand and steal business.
Reached for comment, PrimeSource vice president and general counsel Jeffrey Harvey told HBSDealer that, “the terms of settlement are confidential, but an end to all litigation among all parties.”
Huttig Building Products could not be reached for comment.
Fascinating. Why would the 800 lb gorilla take its foot off the neck of little ol' Huttig all of a sudden? Seems odd, especially since Huttig has been very clear that they are going to aggressively take market share away from Grip-Rite.