Ann Marie Uetz on Supplier Dispute – 'Supplier's ultimate weapon is shipments'

Foley & Lardner LLP partner Ann Marie Uetz offers insight on the dynamics of an automotive supplier dispute in the Crain’s Detroit Business article, “Supplier must continue to ship parts to Stellantis, judge rules.”

Discussing a separate lawsuit involving Stellantis and supplier MacLean-Fogg, in which a judge denied Stellantis’ push for a preliminary injunction last month, Uetz said Stellantis was banking on an injunction against MacLean and that the rejection was potentially a “game changer” in negotiations for price increases.

“The supplier’s ultimate weapon in this fight is the shipments,” Uetz explained, “and anytime a supplier can hold up shipments from its customer, its position in the negotiations is usually improved.”

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