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2 VW Motions to Dismiss GM Suit Denied

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Times Staff and Wire Reports

A federal judge in Detroit has denied two Volkswagen motions to dismiss General Motors Corp.’s industrial-espionage lawsuit against the German auto maker. U.S. District Judge Nancy Edmunds is expected to rule later on two other Volkswagen challenges against GM’s allegations. The Detroit-based firm sued in March, claiming that former purchasing chief Jose Ignacio Lopez de Arriortua took corporate secrets with him when the German auto maker hired him in 1993. GM maintains Volkswagen has used the information about car design, pricing and factories to gain a competitive advantage. Volkswagen denies the charges and has defended Lopez and seven other former GM employees who followed him to the German company.

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