Microsoft is seeking more than $2 million in damages from DHL Express for allegedly losing 21,600Xbox game consoles in a train derailment in Texas, USA, one year ago.
In an October 8, 2008, legal filing with the US District Court for the Western District ofWashington in Seattle, Microsoft said that 12 containers containing 21,600 Xbox 360 consolessustained “impact damage, wetting, pilfering and shortage” after the train carrying them wasderailed near Duke, Texas, on 13 October, 2007.
Microsoft claimed that DHL has refused to compensate it for the loss of the containers eventhough the delivery company “negligently breached its duties as a common carrier, handler, bailee,warehouseman, agent, or in other capabilities”, according to the court papers.
According to the complaint, the Xboxes were en route from a Microsoft office in McAllen,Texas, to Long Beach, California, for eventual delivery by ship to Hong Kong at the time of theloss. The intended recipient was electronics company Flextronics Industrial in Hong Kong. Thedamage claim valued each console at about $92.
A Microsoft spokesperson told the online news agency InternetNews.com that Microsoft does notcomment on litigation. Both DHL and Flextronics also refused to comment on the court case, US mediareported.
In November and December 2005, DHL Express handled distribution in the USA and Europe of thenewly-launched Microsoft Xbox 360 console.
The suit comes at a time when DHL Express is struggling with its loss-making business in theUnited States, shaking up its North American operations. It plans to cut at least 1,500 own jobs inNorth America and outsource flight operations to its rival UPS.
