Wincanton is facing a potential bill for £470,000 plus costs after the Court of Appeal ruled against the logistics firm in a long-running dispute with online retailer DRL.
The court last month (26 July) overruled an earlier decision by the High Court in favour of Wincanton on a dispute that began in 2007 over liability for goods damaged while in the logistic firm’s care.
DRL, which sells white goods online as well as supplying goods to retailers such as House of Fraser, Argos and Marks & Spencer, originally contracted Wincanton to deliver to customers across the UK, offering an unpack and inspect service.
However, DRL claims Wincanton didn’t meet the standards required, leaving it facing customer complaints and with almost £3m of lost or damaged goods.
DRL paid Wincanton £1m towards the end of the contract to deliver remaining orders but the logistics firm requested an additional £300,000 to complete the process.
The case went to the High Court, which found in favour of Wincanton. However, the decision has now been overturned.
The final sum to be paid back to DRL has not been finalised, with a resolution to not expected until next year.
Therefore a spokeswoman for Wincanton adds: "Because the litigation remains extant, we do not consider it an appropriate time to comment."
Last month Wincanton revealed a host of contract wins and renewals, with customers including B&Q and Procter & Gamble.
