Latest MaxxForce judgement could set risky precedent for Navistar

Navistar's EGR-only (exhaust gas recirculation) engine troubles continue to haunt it, most recently in the form of a lawsuit with trucking company Milan Supply Chain Solutions (MSCS). The fleet operator claimed that Navistar was aware of defects in its MaxxForce engines but continued selling them anyway. A court in Tennessee was convinced and has found Navistar guilty of violating consumer protection laws by selling trucks with engines that were not subject to proper testing. It has ordered the OEM to pay MSCS US$30.8m in damages - US$11m of which is compensatory damages and US$20m in punitive damages.