Army Auto-Parts Supplier Loses Suit Over Debarment

Law360, New York (October 4, 2010, 2:57 PM EDT) -- U.S. Army auto-parts supplier Lasmer Industries Inc. has lost a suit alleging a competitor and the federal government conspired to blame it for faulty Humvee suspension systems and got it temporarily banned from Army contracting.

Judge James L. Graham of the U.S. District Court for the Southern District of Ohio dismissed Lasmer's suit Thursday, rejecting the company's challenge to a 2005 debarment that blocked it from contracting with the government for three years and nearly put it out of business.

In 2005, Lasmer and AM General...
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