Texas-based Daimler Truck Financial Services’ $28 million fraud suit against Indiana-based Vanguard National Trailer was dismissed Wednesday by the Texas Business Court.
Judge Jerry Bullard of the Business Court granted Vanguard’s amended special appearance and dismissed the case for lack of personal jurisdiction.
“Daimler has not met its burden in pleading its claims against the Vanguard Companies arise out of or are related to their Texas contacts,” Judge Bullard wrote in his April 8 opinion.
Daimler claimed Vanguard provided KAL Trailers with floor plan financing by attempting to retain titles to hundreds of trailers sold and delivered to KAL Trailers on credit. Vanguard then allegedly provided Certification of Origin copies to KAL Trailers with “false, conflicting, and intentionally misleading certifications” that they had transferred the trailers to KAL Trailers.
Daimler alleged its damages, including unrecovered loans to KAL Freight and KAL Trailers, totaled $28 million.
Vanguard filed an amended special appearance claiming it is not subject to general or specific jurisdiction in Texas.
The other defendants named in the complaint are CIMC Reefer Trailer Inc., King Trailer Lease and Rentals LLC, King Country Trailer Service and Parts LLC and Crownfour LLC.
Attorneys for Daimler are Robert Slovak, Stephen McCartin and Joseph Harper of Foley & Lardner and Kim Gage of Cooksey Toolen Gage Duffy Woog. They did not immediately respond to a request for comment.
Attorneys representing the defendants are James Colley and John Brown of Stockard, Johnston, Brown, Netardus, & Doyle and Sean Gorman of White & Case. They did not immediately respond to a request for comment.
The case is Daimler Truck Financial Services USA LLC v. Vanguard National Trailer Corporation, et al., 25-BC08A-0011.