Saturday, December 5, 2009

LG Electronics USA Files Complaint Against U.S. Department of Energy in Federal Court

/PRNewswire/ -- LG Electronics USA today filed a complaint against the U.S. Department of Energy (DOE) in the U.S. District Court for the District of Columbia.

LG is asking the court to stop the DOE from unilateral measures against the company - inappropriately forcing LG to remove Energy Star labels from certain of its refrigerator-freezer models by Jan. 2, 2010. The LG complaint states that DOE should pursue an industrywide approach to new testing standards within the process established in law.

LG and the DOE reached agreement on matters relating to energy testing for French Door refrigerators in November 2008. The DOE does not dispute that LG fulfilled all its obligations under that agreement.

However, the DOE now wants to change the testing standard announced in the binding November 2008 agreement and to require LG to follow a new test procedure that has not been clarified to LG or properly announced to the industry.

LG shares the DOE's objective of improving the rules to provide accurate energy information to consumers, but LG objects to the process which the DOE is following.

Any changes to the 2008 agreement affect the entire industry. Fair notice should have been provided to the entire industry and the notice should have been prospective, with no retroactive effect and should have provided sufficient time for comment and compliance with the new rule. This is what the law requires.

LG had been willing to work with the DOE to find a path that would meet shared goals of providing guidance to the industry and a public announcement of the procedure with sufficient information and a reasonable time to implement that protocol.

LG regrets that it has no option other than to use legal means to defend itself and its customers.

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