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Palletline in court threat for rumour
Page 6
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Palletline is in hot water for circulating an unsubstantiated rumour about a rival — and the row could end up in court. Dominic Perry reports.
Exclusive
PALLET NETWORK Palletline could face a claim for damages from a Manchester haulage firm for false claims made in a memo which it circulated to all its depots.
The allegations contained in the memo concerned Stock portbased operator Leggett Freightways, which trades as Leggett Logistics: it was claimed the firm was in financial difficulties, Several Palletline depots acted on this information and contacted Leggett customers repeating the allegation in order to drum up work.
Leggett, which has a £13m annual turnover, absolutely refutes the allegation, which Palletline now admits was without foundation and has been withdrawn.Leggett is understood to be in the process of seeking "substantial damages" against both Palletline as a company and against MD Glyn Jones personally.
Edward Rodgriguez, financial director at Leggett, says that relations between the two firms are now at rock bottom: "This has always been a difficult industry but this has taken [it] to a new low of dirty tricks. "[Palletline] has withdrawn the allegations through their solicitors, but I think it's a fair reflection on the company that we are dealing with that they haven't had the decency to apologise.
-Before you start making rumours of that type you should be very careful of your information." Palletline founder Bob Russett, who recently left his chairman's position to take a more back-seat role at the 60-depot network, maintains that there was no malice behind the allegations. He insists it was simply a rumour that wasn't checked before being distributed to its members. Russett adds: "I don't know how or why this silly situation developed. Obviously we regret it because we are not the type of people that start false rumours. There is enough business out there to be fair to other companies.
"It was a genuine mistake acting on false information."