EconomyMarkets

Workhorse dismisses its legal challenge to USPS contract award By Reuters

© Reuters. FILE PHOTO: A U.S. Postal Service (USPS) logo is pictured on a mail box in the Manhattan borough of New York City, New York, U.S., August 21, 2020. REUTERS/Carlo Allegri/File Photo

By David Shepardson

WASHINGTON (Reuters) -Electric vehicle company Workhorse Group voluntarily dismissed on Tuesday its legal challenge against a U.S. Postal Service (USPS) move to award a multibillion-dollar contract to Oshkosh (NYSE:) Defense for delivery vehicles.

The 10-year contract announced in February could be worth more than $6 billion and allows for delivery of between 50,000 and 165,000 vehicles. Workhorse had proposed building an all-electric vehicle fleet for USPS, while Oshkosh plans a mix of internal combustion-powered and battery-electric vehicles.

Workhorse’s legal challenge, filed in June, had been set to face arguments before a judge on Wednesday on the U.S. Court of Federal Claims.

Workhorse and Oskhosh did not immediately respond to requests for comment late Tuesday. USPS declined immediate comment.

Lawyers for the Justice Department in July had filed a motion to dismiss Workhorse’s challenge, citing its “admitted failure to exhaust mandatory administrative remedies,” according to court documents. Oshkosh filed a similar motion.

Workhorse later argued that USPS’s administrative remedies violated the U.S. Constitution, the Justice Department said, but it argued that “Workhorse has forfeited its newfound…challenge by failing to raise it before the Postal Service.”

Postmaster General Louis DeJoy has committed to at least 10% of the fleet’s being electric vehicles, but has said that with government assistance the USPS could commit to making a majority of the fleet electric within 10 years.

Congress is considering providing USPS billions to speed the adoption of EVs. Earlier this month, a U.S. House of Representatives panel approved $2.4 billion for USPS to buy new EV postal trucks and build charging infrastructure.

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.


Source link

Show More

Related Articles

Leave a Reply

Your email address will not be published. Required fields are marked *

Back to top button