Summary
FedEx Corp. (FDX) announced on October 11, 2018, an agreement in principle to settle pending lawsuits with the City and State of New York. These lawsuits stemmed from allegations of FedEx Ground's shipments of cigarettes to New York residents. The settlement is for a total of $35.4 million and importantly, does not include any admission of liability by FedEx Ground.
Key Highlights
- 1FedEx Ground has reached an agreement in principle to settle lawsuits with New York City and State.
- 2The settlement amount is $35.4 million.
- 3The lawsuits were related to alleged shipments of cigarettes by FedEx Ground to New York residents.
- 4Crucially, FedEx Ground has made no admission of liability as part of this settlement.
- 5The event date for this agreement was October 9, 2018, with the filing on October 10, 2018, and report filed October 11, 2018.
- 6This item falls under Section 8.01 'Other Events' of the 8-K filing.
Frequently Asked Questions
This 8-K filing is to report that FedEx Ground has reached an agreement in principle to settle lawsuits with the City and State of New York concerning alleged cigarette shipments.
The settlement is for $35.4 million.
No, the settlement explicitly states that FedEx Ground has made no admission of liability.
The lawsuits were related to allegations that FedEx Ground shipped cigarettes to residents of New York.