In response to a U.S. judge’s decision to uphold a US $27.4 million award to Delta aircraft component manufacturer Avcorp Industries, Cessna Aircraft has filed an appeal to the U.S Court of Appeals to repeal the payment.
The two companies have been locked in a lengthy legal dispute, stemming from an alleged exclusive supplier agreement signed in 2001.
In 2003, Avcorp alleges Cessna began purchasing parts from another company, which breached the contract.
Cessna alleged the contract was never an exclusive agreement and countered with accusations that Avcorp had shipped defective parts, behind schedule.
In 2010, Cessna informed Avcorp it would begin producing parts in house. At the time, the Cessna contract was worth 40% of Avcorp’s revenues.
In May, Avcorp announced 2013 first quarter revenues of $440,000, down from $860,000 in the first quarter of 2012.
Avcorp builds airframe structures from companies such as BAE Systems, Boeing and Bombardier. Avcorp also has a facility in Burlington, Ontario.
