CHEP Asia-Pacific has won a major case in the NSW Supreme Court over the misuse of 1,200 CHEP pallets by two food wholesalers.
CHEP began legal action against the two wholesalers, one in the food and grocery industry, the other a wholesaler of frozen foodstuffs, when after 18 months they failed to return the pallets and refused to enter into pallet hire agreements.
Neither of the wholesalers were CHEP customers or authorised users of CHEP pallets.
The judgement, delivered by the court on May 2, confirmed that CHEP was entitled to immediate possession of the pallets. Under the NSW ruling, CHEP is entitled to an injunction preventing the wholesalers from using CHEP pallets unless signed to a standard pallet hire agreement. The court also held that CHEP may claim losses sustained during the wholesalers' unlawful possession of the pallets.
CHEP Asia-Pacific president Howard Wigham welcomed the ruling, saying that one of the major concerns of his customers was the unauthorised use of equipment. The company, he said, was committed to equity in the use of the pallet pool for all CHEP's valued customers.
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