The Netherlands-based trade publication, Bike Europe, is reporting that Specilaized has been handed a 500,000 ($605,000) fine for suddenly ending a distribution agreement with Ets. José Alvarez. The fine is to cover “economic, financial & commercial loss” sustained from the termination. Specialized has been ordered to pay an additional 38,000 ($80,000) to cover the settlement of outstanding accounts, and legal costs.
As part of a third stipulation a public announcement from Specialized in the European trade publications, VTT Magazine, Velo Vert, and Bike Europe has been ordered by the court. No announcements have been made by Specialized yet. BOSS contacted Specialized founder and president Mike Sinyard, who declined to confirm or discuss the ruling. He said that the background on the case was also not for publication.
