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UPS will not join FedEx lawsuit against U.S. government

Source: Reuters / www.reuters.com / June 25th, 2019

Reporting by Rachit Vats in Bengaluru, Chris Sanders in Washington and Karen Freifeld in New York; Editing by Maju Samuel and Rosalba O'Brien

(Reuters) - United Parcel Service Inc said on Tuesday it would not join a lawsuit FedEx Corp filed against the U.S. government that argues FedEx should not be held liable if it inadvertently shipped products in violation of an export ban.


FILE PHOTO: The logo of United Parcel Service is seen at the new package sorting and delivery UPS hub in Corbeil-Essonnes and Evry, southern Paris, France, June 26, 2018. REUTERS/Charles Platiau/File Photo


FedEx’s announcement of its suit on Monday came shortly after the U.S. parcel delivery firm reignited Chinese ire over its business practices. A package containing a Huawei phone sent to the United States was returned last week to its sender in Britain, in what FedEx said was an “operational error.”

Chinese telecoms company Huawei Technologies Co in May was added to a blacklist of people and companies the U.S. government said posed a security risk, barring it from buying, without special approval, U.S. technology upon which it was heavily reliant. A number of other Chinese firms have also been banned from buying sensitive U.S. technology.

In its lawsuit, FedEx said it should not be expected to enforce the export ban, and could not reasonably be held liable for shipping products that it did not know about.

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