WASHINGTON – A group of Bangladeshi apparel manufacturers have won a lawsuit against US retailer Sears over unpaid orders. However, the businesses will receive a total of just US$6.3m having initially been demanding the payment of US$40m under contractual rights against Transformco, a privately held company held run by Eddie Lampert which owns Sears.
Reports suggest suppliers are receiving just 10-15 per cent of monies owed.
The lawyers representing the manufacturers presented a huge dossier of evidence to support their claims, the most striking element of which is that Transformco willingly misrepresented its financial position to induce suppliers to extend it credit.
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