CU stalks Apple with writ over breach of agreement

Computers Unlimited (CU) has followed up its legal threat to Apple and issued a writ against the manufacturer for allegedly breaching its distributor agreement.

The Mac specialist was dealt a surprising blow in March, when it was canned in preference to distributors Computer 2000 and Ingram Micro. It had been widely expected that Ingram was the distributor that would receive the chop, with sources claiming it was not hitting its sales targets and did not have enough resources behind the line (PC Dealer, 25 March).

At the time, James Sanson, CU managing director, claimed the distributor had hit every target Apple set it and was intending to fight the decision from a legal standpoint and also through reseller support.

According to a writ - seen by PC Dealer - Janson Computers, which trades as CU, is seeking a High Court declaration that a notice date of 19 March, purporting to terminate an agreement between itself and Apple, was 'invalid and of no effect unless comparable distributor agreements with Computer 2000 and Ingram Micro are terminated from the same date.'

The writ also stated that the notice was 'invalid unless the termination of agreements with Computer 2000 and Ingram is unconditional and is not on terms providing for the reappointment of those companies as distributors.'

CU is also seeking specific performance of the agreement, as well as damages for breach of agreement.

One observer said: 'This is James (Sanson) stating that he is serious about not losing the Apple account. But I doubt whether the case will ever get to court.'

Another observer commented: 'Apple US wants people focused and committed to selling Apple - which is what CU stands for - but Apple UK seems to care more about volume capacity and credit availability.'

Apple claimed it would be inappropriate to comment. CU refused to comment.