Navistar Sanctioned in $26M Retiree Health Benefit Suit

A federal judge sanctioned Navistar International Corp. for failing to fully explain its legal theory in a case over retiree health benefits until the case went to trial in 2018.

While stopping short of finding that Navistar engaged in a deliberate “game of hide and seek,” the judge nevertheless found the company’s statements during discovery didn’t match the testimony ultimately given at trial.

Because Navistar should have supplemented its earlier disclosures to account for this, the judge reopened discovery and ordered Navistar to provide correct information and pay reasonable attorneys’ fees.

The sanctions are the latest development in a dispute ...