Wal-Mart Supplier's Contract Spat Heads To Arbitration

Law360, New York (May 7, 2010, 2:38 PM EDT) -- A federal judge has told laundry detergent maker Simplicity International to arbitrate a dispute with packaging company Kranson Industries Inc. over a defective labeling job that allegedly caused Simplicity to lose about $6 million in sales to Wal-Mart Stores Inc.

The contract between Simplicity and Kranson is valid, meaning they must adhere to a provision to arbitrate the dispute in St. Louis, Mo., Judge Stephen V. Wilson of the U.S. District Court for the Central District of California ruled Thursday.

Judge Wilson stopped short of compelling...
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