GOSHEN — Supreme Industries announced that it agreed to settle a lawsuit with King County, Wash., over 35 buses King County bought for its Metro Bus Service.
King County had sought $10.5 million plus attorney’s fees in the contract lawsuit, and Supreme Industries agreed that Supreme Bus would pay $4.2 million to the county, plus the company’s subcontractors would pay another half-million, for a total settlement of just over $4.7 million.
King County took Supreme to court in February 2012, seeking to revoke its acceptance of the 35 buses, which were delivered to the county starting in 2009. They argued that Supreme breached its contract and implied warranties.
Mark Weber, president and chief executive officer of Supreme, said in a written announcement, “In light of the risks and costs inherent in continuing this suit, the company determined that it was in its interest to bring this matter to resolution. Supreme remains focused on providing products and services that meet customer expectations for the truck, armored vehicle, shuttle bus, mid-size bus, and trolley markets.”
King County has about 1,480 vehicles in its Metro program, according to the county. It covers the Seattle area.
Supreme Bus, a subsidiary of Supreme Industries, started in Goshen in 1983. Supreme Industries, the holding company for Supreme Corp., is based in Goshen and makes buses, commercial truck bodies, service vehicles, homeland response vehicles and armored vehicles in facilities in five states. It also has a laminating facility in Ligonier.