Palm Beach Gardens, Florida: NYSE: CARR Carrier Global the World's Largest Air Conditioner Manufacturer, Busted in HVAC/R Industry-Wide Intellectual Property Theft. CEO David Gitlin Identified in a Corporate and Personal Criminal Contempt Filing in the Western District of Tennessee.

Rhea-AI Summary

Carrier Global faces significant legal challenges after being found in contempt of a court's Permanent Injunction order regarding software use, stemming from a 2015 lawsuit by ECIMOS, LLC.

ECIMOS previously won $7.5MM in damages, while Carrier is now liable for an additional $11.75MM in criminal sanctions and $14.66MM in profit disgorgement damages. CEO David Gitlin and Corporate Representative J.C. Stewart could face prison sentences for non-compliance. Investors should be aware of potential impacts on CARR stock performance.

Positive

• None.

Negative

• Carrier Global found in contempt of court, risking $11.75MM in criminal sanctions.
• Potential prison sentences for CEO David Gitlin and J.C. Stewart.
• Additional liability of $14.66MM in profit disgorgement damages.

ORLANDO, Fla., July 19, 2021 /PRNewswire/ -- In 2015, ECIMOS, LLC sued Carrier Global for copyright infringement and breach of contract for improper use of ECIMOS' testing software and database script-source code, and in 2018, a Memphis, TN jury ruled in favor of ECIMOS awarding them $7.5MM. The nearby Carrier Global Collierville, TN A/C Manufacturing facility, the largest in the world, was the subject of the lawsuit. Then on August 21, 2020, Carrier Global lost its higher court appeal of the Copyright infringement violations.

A thief is a thief whether they steal a car or intellectual property & Carrier Global willfully ignored the court ruling

Carrier decided to pay the resulting judgment and not to appeal to the nation's highest court. Fast forward to July 13, 2021, and Carrier Global finds itself trying to defend its CEO David Gitlin and his Corporate Representative J.C Stewart, from criminal fines and keep him out of jail for failure to comply with a Western District of Tennessee Court's Permanent Injunction (PI) Order.

The July 13th filing informs the court that Carrier Global is in contempt of its PI order since it refuses to use the October 7, 2020, court certified software version that it states is a non-infringing prophylactic solution.

As a result of the Carrier Global defiance, ECIMOS asks for $11.75MM to be accessed in criminal sanctions and the incarceration of Gitlin and Stewart, until it comes into compliance.

There will be an additional subsequent filing, requesting the Court to rule Carrier should come current concerning the ongoing profit disgorgement damages payment due ECIMOS, a total of $14.66MM. The jury previously awarded 2.22% of Carrier Global profit as damages and if its forelady and 11 other fellow Memphians could be asked today, they would agree that Carrier Global is in arrears on $660MM in accumulated profit.

If the Criminal Contempt Motion goes through, Carrier Global CEO, David Gitlin and JC Stewart could be facing prison sentences and personal monetary damages. Carrier investors should take note.

For more information on the ECIMOS, LLC vs. Carrier Global lawsuit and to review the latest motion for contempt against Carrier Global, please visit www.truthaboutcarrier.com. 

For Media & Press Inquiries please contact:
Stephen Olita
stephen@truthaboutcarrier.com 
901-490-8044

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SOURCE ECIMOS, LLC

FAQ

What legal issues is Carrier Global currently facing?

Carrier Global is facing contempt of court due to failure to comply with a Permanent Injunction related to a lawsuit by ECIMOS, LLC.

What were the damages awarded to ECIMOS against Carrier Global?

ECIMOS won $7.5MM in damages, and Carrier Global now faces additional liabilities totaling $26.41MM.

What could happen to Carrier's CEO and Corporate Representative?

CEO David Gitlin and Corporate Representative J.C. Stewart could face prison sentences for non-compliance with the court order.

How does the ECIMOS lawsuit impact Carrier's investors?

Investors should be concerned about the potential financial liabilities and impacts on the stock performance of CARR.