Polaris, HSBC reach settlement on federal lawsuit
December 12, 2008
Filed under Features
A settlement has been reached in a lawsuit between Polaris Industries and HSBC Bank Nevada where the manufacturer said HSBC violated terms of an exclusive contract between the two companies.
In the lawsuit, Polaris said the finance company threatened to drastically tighten retail credit standards at Polaris dealerships and in so doing, jeopardized hundreds of millions of dollars in retail sales.
The lawsuit, filed in a federal court in Northern Illinois, said the “amount in controversy exceeds $75 million.”
Polaris officials said the terms of the settlement are confidential.
Polaris officials also said the company anticipates that HSBC will continue to provide revolving retail credit to qualified customers through the end of the contract term on Oct. 31, 2010.