Hover Automotive India (HAI), the firm that sold and distributed Nissan cars in the country, has dragged the Japanese auto maker to court over termination of their agreement. "HAI has already exercised legal options available to it to have the purported termination established as invalid and wrongful," the company said in a public notice.
It, however, did not disclose in which court the case has been filed. Spokesperson of HAI also declined to disclose, saying the company cannot comment beyond what has been put up in the public notice at the moment.
The development followed the announcement by Nissan on February 14 that it had terminated its sales, marketing and distribution agreement with HAI. Disputing the termination, HAI said it "has a binding legal distribution agreement with Nissan that establishes the long term distribution rights of HAI in India."When contacted for comments, a Nissan Motor India spokesperson declined to comment saying the company stood by its earlier statement.Stating that it considers the "purported termination as invalid and ineffective", Nissan, which currently sells models such as the Sunny, Micra and Terrano in India, said in November that its Datsun vehicles slated for launch next month would be sold directly through Nissan Motor in India.