Bobcat of Mandan Sues Bobcat Co. in Contract Dispute

Mandan, North Dakota - Bobcat of Mandan Inc., a Bobcat construction equipment dealer, has sued Bobcat Co., a subsidiary of South Korea’s Doosan Group, over the termination of its sales agreement that brought an end to their 40-year partnership.

The dealership, which operates locations in Mandan and Dickinson, says the contract termination eliminates access to products that make up roughly 80% of its income. In its complaint, Bobcat of Mandan alleges breach of contract, arguing Bobcat Co. lacked good cause to end the agreement.

Bobcat Co. counters that the termination followed more than a year of contractual violations. The company claims the dealership marketed Bobcat equipment through non-approved South Dakota stores, sold competing Develon products at its Mandan location, and falsified a business record related to equipment shipments.

David Dinneen, owner of Bobcat of Mandan, also owns Rapid Equipment in Box Elder, S.D., and has interests in Dakota Iron in Sioux Falls, both authorized Develon dealers. Bobcat Co. said these ties led to conflicts of interest and repeated contract breaches. In legal filings, the company accused Dinneen of altering documents to conceal unauthorized sales of Develon equipment.

Bobcat of Mandan disputes those claims, maintaining that any violations were minor, unintentional, or covered under prior permissions. The dealership also argues clauses restricting it from selling Develon products are unenforceable and amount to unlawful interference with its existing contracts.

By filing suit, Bobcat of Mandan secured an automatic stay preventing termination of its contract until the case is resolved. A North Dakota judge upheld the stay in July after Bobcat Co. sought to dissolve it.

Both sides have declined detailed comment due to the ongoing litigation. In a statement, Bobcat of Mandan said it “feels strongly about the validity” of its claims and looks forward to its day in court.

You must be logged in to respond.