In the ongoing lawsuit between the auto glass repair and replacement services providers Diamond Triumph Auto Glass Inc. and Safelite Glass Corp., Judge Munley of the US District Court for the Middle D…
In the ongoing lawsuit between the auto glass repair and replacement services providers Diamond Triumph Auto Glass Inc. and Safelite Glass Corp., Judge Munley of the US District Court for the Middle District of Pennsylvania allowed Safelite to file new counterclaims against Diamond Triumph on 22 April 2004. In a press release on 27 April 2004, Safelite said the amended counterclaim stated that Diamond Triumph used allegedly illegal and improper “push payments,” including commercial bribery, such as gift cards, to induce various insurance agents to refer or recommend auto glass customers to Diamond Triumph. Safelite said it is seeking damages, a declaration that the payments were illegal and an injunction to stop Diamond Triumph from using push payments. “Safelite will continue to vigorously defend itself and will, with equal vigilance, prosecute its counterclaims,” said Safelite General Counsel Mark Smolik. “Once the discovery process has been completed we would expect to seek dismissal of all claims against Safelite and recover damages incurred as a result of Diamond Triumph“s conduct.” “Safelite“s new counterclaims do not have any merit,” responded Michael Sumsky, Diamond Triumph“s President and General Counsel, in a press release on 28 April 2004. “We believe this is another in a series of attempts by Safelite and its attorneys to distract the court and the public from the legitimate issues of our lawsuit – Safelite“s unlawful conduct and the damage it has caused Diamond Triumph. We are not distracted, however, and will continue to pursue our case – a case we believe we will win.” Diamond Triumph said it found the timing of Safelite“s allegations curious, “given the fact that the case has been pending for over two years”. “Had Safelite believed there was any merit to these allegations, they should have raised them in response to our original complaint. This delay speaks volumes”. Diamond Triumph said it filed the lawsuit against Safelite in March 2002, alleging that Safelite damaged Diamond Triumph“s business by its violation of various federal and state unfair competition laws.