HP wins legal case against grey trading D&P Data Systems


HP wins legal case against grey trading D&P Data Systems

Microscope contributor

HP has resolved a legal battle with D&P Data Systems over the importation of branded kit from outside the European Economic Area without its consent.

Details of the settlement, comprising a High Court Order, are confidential but HP revealed the Manchester-based second sourcing and excess inventory player had agreed to pay compensation and cease selling unauthorised technology in the region.

"D&P has agreed to pay HP substantial damages and legal costs, submitted to an injunction preventing trade in unlawful imports and agreed to provide HP with certain information," a member of HP's corporate legal team told MicroScope.

In April, the US tech monster confirmed it was investigating several UK resellers suspected of grey trading and insisted it would take action if they were guilty.

Founded in 1992, D&P Data Systems sells servers, array controller, server options, hard drives, hubs, switches, storage and networking products from vendors including HP, IBM, Cisco and 3Com.

D&P's last set of financials for the twelve months to 31 May 2009 showed a 24% rise in profits to £1m but a 2% dip in sales to £76.6m.

Some in the channel have long called for HP to make public examples of partners found dabbling in the murky world of unauthorised importing or the reselling of such technology.

HP added: "The agreement is part of a wider HP programme to ensure customers can be confident that the HP products they purchase are genuine, lawful and have full and valid warranty cover and that HP's channel partners can compete on a level playing field."

D&P Data Systems was unavailable to comment at the time of going to press, while HP refused to comment on the types of products involved in the case. 

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