UPS 2008 Annual Report Download - page 26

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In another case, Hohider v. UPS, which in July 2007 was certified as a class action in a Pennsylvania federal
court, plaintiffs have challenged certain aspects of the Company’s interactive process for assessing requests for
reasonable accommodation under the Americans with Disabilities Act. Plaintiffs purport to represent a class of
over 35,000 current and former employees, and seek back-pay, and compensatory and punitive damages, as well
as attorneys’ fees. In August 2007, the Third Circuit Court of Appeals granted the Company’s Petition to hear the
appeal of the trial court’s certification order. Oral argument took place in November 2008. The appeal will likely
take one year. We have denied any liability with respect to these claims and intend to vigorously defend
ourselves in this case. At this time, we have not determined the amount of any liability that may result from this
matter or whether such liability, if any, would have a material adverse effect on our financial condition, results of
operations, or liquidity.
UPS and Mail Boxes Etc., Inc. are defendants in various lawsuits brought by franchisees who operate Mail
Boxes Etc. centers and The UPS Store locations. These lawsuits relate to the rebranding of Mail Boxes Etc.
centers to The UPS Store, The UPS Store business model, the representations made in connection with the
rebranding and the sale of The UPS Store franchises, and UPS’s sale of services in the franchisees’ territories.
We have denied any liability with respect to these claims and intend to defend ourselves vigorously. At this time,
we have not determined the amount of any liability that may result from these matters or whether such liability, if
any, would have a material adverse effect on our financial condition, results of operations, or liquidity.
UPS Freight, along with several other companies involved in the LTL freight business, is a defendant in a
Multi-District Litigation pending in the United States District Court for the Northern District of Georgia. The
lawsuits allege that the defendants conspired to fix fuel surcharge rates, and they seek injunctive relief, treble
damages and attorneys’ fees. We have denied any liability with respect to these claims and intend to vigorously
defend ourselves in these cases, and defendants’ motion to dismiss is pending for decision by the Court. These
cases are at a preliminary stage and at this time, we have not determined the amount of any liability that may
result from this matter or whether such liability, if any, would have a material adverse effect on our financial
condition, results of operations, or liquidity.
We are a defendant in various other lawsuits that arose in the normal course of business. We believe that the
eventual resolution of these cases will not have a material adverse effect on our financial condition, results of
operations, or liquidity.
We have denied any liability with respect to these claims and intend to defend ourselves vigorously. At this
time, we have not determined the amount of any liability that may result from these matters or whether such
liability, if any, would have a material adverse effect on our financial condition, results of operations, or
liquidity.
Other Matters
We received grand jury subpoenas from the Antitrust Division of the U.S. Department of Justice (“DOJ”)
regarding the DOJ’s investigations into certain pricing practices in the air cargo industry in July 2006, and into
certain pricing practices in the freight forwarding industry in December 2007. In October 2007 and June 2008,
we received information requests from the European Commission relating to its investigation of certain pricing
practices in the freight forwarding industry. We also received and responded to related information requests from
competition authorities in other jurisdictions. We are cooperating with these inquiries.
Item 4. Submission of Matters to a Vote of Security Holders
None
15