Howard’s Appliance TV & Mattress is suing a major delivery service provider, alleging it was overcharged for services, threatened to stop deliveries without notice and attempted to force the company to pay unpaid fees.
In a lawsuit filed Dec. 20 in Orange County Superior Court, the La Habra-based company – listed in the complaint as Howard’s Appliances – alleges that the problems began when another company took over its supply contract.
Howard’s contract with DSI Logistics Inc., a Nevada company, began on April 1, 2015 to provide freight forwarders for delivery services for products sold to Howard’s customers. But Pilot Air Freight LLC took over the supply contract from DSI in 2021.
The complaint alleges that Pilot breached the contract by overcharging Howard’s for what the agreement describes as “complex” and “regular” deliveries.
The lawsuit further alleges that Pilot threatened to suspend all deliveries without notice during Howard’s busiest season of the year in order to “blackmail or coerce” the company into paying additional fees it wasn’t owed while also posting a bail of $500,000 required by the contract.
These lawsuits came despite the fact that Howard’s payment obligations were up to date and that it had performed all of its contractual obligations, the claims being made.
Pilot Air Freight officials could not be reached for comment.
“Pilot also failed and refused to provide accounting or backup documentation or audits of charges,” the lawsuit says. “Pilot repeatedly breached the contract by refusing deliveries despite being paid in full and even overpaid to make complex and regular deliveries.”
The lawsuit alleges that Howard has suffered damages of at least $1 million as a result, which includes injunctive relief, costs of filing the lawsuit and attorneys’ fees.
Howard’s operation operates stores, outlets and experience shops in 17 locations in Southern California, including Agoura Hills, Corona, Covina, Huntington Beach, Long Beach, Tustin, La Habra, Torrance, Riverside and West Los Angeles, among others.
https://www.ocregister.com/2023/01/12/howards-sues-vendor-over-appliance-delivery-issues-unnecessary-fees/ Howards sues vendors over delivery issues and unnecessary fees – Orange County Register