‘Ford coercing dealers to sign non-disclosure pact’

FADA for task force to oversee pay-off

Alleging ‘coercive efforts’ by Ford to get their channel partners to sign a non-disclosure agreement, the Federation of Automobile Dealers Association (FADA) has sought government intervention in the ongoing negotiations with Ford India.

FADA urged Heavy Industries Minister Mahendra Nath Pandey to formulate a task force to monitor the compensation structure being worked out by Ford India for dealer partners across the country and that a formal discussion be initiated on the ‘Automobile Dealers’ Protection Act’.

The dealers’ body alleged that Ford India was forcing dealers to first sign a non-disclosure agreement (NDA) before any compensation package could be worked out. “Such coercive efforts on Ford’s part to get their channel partners to sign an NDA with an imposition of unreasonably tight timelines, under economic duress is not the right approach and adversely impacts dealer interests,” FADA president Vinkesh Gulati said.

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