A bitter wrangle between vendor D-Link and distributor CHS-Merisel has led to a parting of ways between the two companies. D-Link accused CHS of not paying its bills while the distributor said it had decided to dump the vendor anyway.
Michael Gill, managing director of D-Link, said: ?We haven?t been paid for two months. Despite all of our efforts with CHS-Merisel, we can?t deal with them so tomorrow [Friday] we?re sending them a Dear John letter.?
He said that the amount in question was in six figures. ?This will drop our distributors to six. We?ve chewed it all over.? He said that D-Link still had stock at CHS-Merisel but D-Link will take legal action to recover that.
Peter Rigby, MD at CHS-Merisel, described Gill?s comments as "a bit dirty. I?ve made it clear we?re going through vendor rationalisation and he was one of them,? he said. ?I would say that if we owe money it will be a reconciliation between Merisel and CHS.?
D-Link was one of the vendors CHS had inherited from Merisel, Rigby said. ?We?ve had discussions about where the relationship goes.?
On the matter of money owed, Rigby said: ?I can?t deny we might owe them money but that is due to reconciliation,? he said.
Last month Gill took similar steps to slim down distribution when he sent a similar Dear John letter to Pat Harvey at DMST.
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