Lock maker Assa Abloy resolves US court clash over industry probe
26/07/2024 18:28
By Mike Scarcella
July 26 (Reuters) - Global lock maker Assa Abloy
ASSAb.ST has resolved a dispute over the power of a
court-appointed monitor to police its settlement with the U.S.
Justice Department stemming from the company's $4.3 billion
acquisition of a Spectrum Brands SPB.N unit last year.
Assa Abloy had clashed for weeks in court papers with the
corporate monitor supervising its compliance with the
settlement, which resolved government antitrust claims. In a
filing in Washington, D.C. federal court on Thursday, they said
they reached an agreement on the scope of the monitor's work on
an industry study about smart locks that Assa Abloy had
contested.
Some U.S. settlements include court-approved monitorships to
supervise and investigate a company's compliance.
Assa Abloy had accused the monitor, Hausfeld’s Melinda
Coolidge, of overstepping her authority by embarking an overly
broad review of competition in the smart lock industry.
The company withheld payment from Coolidge, drawing a rebuke
from the Justice Department that the company was violating the
terms of the settlement.
Assa Abloy, Coolidge and a Justice Department spokesperson
did not immediately respond to requests for comment on Friday.
U.S. District Judge Ana Reyes canceled a hearing in the case
that was scheduled for Friday and said she “appreciates the
parties working through the issues.”
Assa Abloy said in a court filing this month that the
company had paid the monitor a discounted amount — $2.7 million
— to cover outstanding invoices.
The antitrust settlement with the DOJ came last year in the
government’s lawsuit seeking to block Assa Abloy’s purchase of
assets from U.S.-based Spectrum. The deal, which did not include
an admission of wrongdoing, came in the middle of a trial.
The case is United States v. Assa Abloy and Spectrum Brands,
U.S. District Court for the District of Columbia, No.
1:22-cv-02791-ACR.
For U.S.: Matthew Huppert and Miranda Isaacs of the Justice
Department
For Assa Abloy: Justin Bernick and Lauren Battaglia of Hogan
Lovells
Read more:
Lock maker Assa Abloy violating antitrust settlement, US
Justice Dept says
(Reporting by Mike Scarcella)
((Mike.Scarcella@thomsonreuters.com;))