Vermont Jury Awards Firm $2.3 Million from DuPont

April 19, 2007

A federal jury in Burlington, Vemont ordered chemical giant DuPont to pay a Colchester company $2.3 million to settle a dispute about a coating made to line steel ducts used in the semiconductor industry.

Fab-Tech Inc., of Colchester, maintained that DuPont sold the coating in violation of an agreement between the two companies.

DuPont said it plans to appeal.

The two companies developed the coating in the early 1990s. Fab-Tech maintained that in some areas, such as South Korea, its investment in a manufacturing facility became worthless because DuPont violated an agreement and sold the coating product there on its own.

After a two-week trial, the jury awarded Fab-Tech $1.3 million in compensatory and another $1 million in punitive damages.

“Not only did the jury agree with us that we ought to get our money back for $1.3 million, but they awarded punitive damages. Punitive damages are intended to punish DuPont,” said Fab-Tech Lawyer Michael Burak.

DuPont issued a statement saying it “believes the verdict was not supported by the evidence, and that there was not sufficient evidence to support the punitive award. The company will appeal.”

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