Harley sued over international sales policy

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The outcome of this lawsuit could make a big difference for Canadians buying Harley-Davidson parts in the U.S.
The outcome of this lawsuit could make a big difference for Canadians buying Harley-Davidson parts in the U.S.

A Minnesota-based Harley-Davidson dealer is taking the manufacturer to court over their international and third-party website sales policy.

As we told you last September, Harley-Davidson is cracking down on U.S. dealers who have been selling parts and accessories outside their territory. That includes sales to Canada, as well as sales through sites like eBay or Amazon.

But America being what it is, this wasn’t going to go through without a fight, and now St. Paul Harley-Davidson is taking Harley-Davidson to court over the company’s policy, saying it will greatly impact their business.

The dealer says they earned $8 million per year between 2008 and 2010 through third-party website or out-of-territory sales, and they say Harley-Davidson’s new policy is an illegal change to the original franchise agreement they signed. On the other hand, other dealerships say volume discounting is hurting the industry, and no dealer wants another seller taking away business in their territory.

So now the dealership – founded in the 1940s – will duke it out with the Bar and Shield in court, in an attempt to keep their business going. The outcome could have a big impact on Canadian buyers, so we’ll try to stay on top of this for you.

5 COMMENTS

  1. Harley Canada is ripping off Canadian customers not only do they pay Trev Deely under the table the dealerships are selling parts and cycles 15-50% over MSRP and that’s Canadian MSRP even more over US. What happened to free trade???? Now that the dollar exchange is on the side of the Canadian consumer now Harley Canada wants to get greedy!!! There is no duty on motorcycle parts coming from the USA so all the Canadian dealers have to pay is for shipping!!!! Just because Canada’s economy is doing good (LETS RIP OFF THE CANADIAN CUSTOMER) Most of Harleys parts are made in China and they are crap!!!! I have a Harley but it doesn’t have over prices crap from china it has good old American made quality!!!!! I will choke on it before I buy Canadian Haley rip off china made crap!!! Trev Deely you can shove it up where the sun doesn’t shine!!! I bought my bike and it’s parts from the US and proud of it. Buy S & S, Baker, BDL anyone but Harley Davidson!!!!!!!!!!!

  2. The local HD dealer sells parts for 12 % higher then the posted HD Canada web prices. No wonder the dealer could open a retirement shop in Brisbane, Australia  

  3. Harley in Canada has an importer called “Deeley Canada” formally (and legally) known as “Fred Deeley Imports” they get a percentage of everything with the Harley-Davidson name and/or logos that are sold in various retailers, in the states there is no middle man = lower prices. another interesting point is the MSRP (manufacturers suggested retail price), if one has access to UltraCom (Harley’s parts system) they will notice every dealer to be 10%-20% over MSRP, and they think consumers won’t notice? obviously they do, so in comes the “territory” concept

  4. The motor company has long had trouble keeping up with technical advancements; now it seems they’re also behind the times with regard to modern marketing. The “territory” concept is no longer viable; hasn’t been for quite some time.

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