Rodent wrote:
http://money.cnn.com/2012/08/06/news/companies/gibson-imports-wood/index.htm?hpt=hp_t3
Quote:
"We felt compelled to settle as the costs of proving our case at trial would have cost millions of dollars and taken a very long time to resolve," Joskiewicz said in a statement released late Monday. This allows us to get back to the business of making guitars."
On July 19, the Wall Street Journal published an op-ed piece by Juszkiewicz that detailed the raid, which he says cost his company $2 million to $3 million in products and productivity.
He also said the importation was in compliance with the laws of India. He called the U.S. government's actions an 'overreach" and a "job killer."
I don't see Gibson admitting guilt to anything here, but instead they took a good look at what it would cost the company to fight the unending funding of the US government on this case.
all the best,
R
Unless the BBC are totally getting it wrong, it looks like an admission to me: "Gibson admitted violating the Lacey Act, which requires firms to know that timber they use is legally obtained." Admitting you violated the law is tantamount to admitting guilt, no?
If so, Gibson seemed quite happy to throw their supporters' efforts in this case under a bus in the name of money IMHO. To admit guilt when there is none because of the cost of trial doesn't help your reputation as the keeper of the American tradition that they portrayed themselves as. And I get annoyed with the "job killer" and "overreach" statements. CEOs often break those chestnuts out when they get accused of something, valid or not.
It makes me wonder what other guitar companies are hiding from us though. Gibson - a market leader - can't be alone in this practice.