ALBUQUERQUE, N.M. (AP) — Eclipse Aviation and Hampson Aerospace Inc., a supplier that makes tail sections for the Albuquerque manufacturer's very light jet airplanes, have settled a lawsuit over allegations of shoddy workmanship and delayed payments.
The companies reached ''a full and final settlement of all claims and disputes,'' Eclipse said in a news release Tuesday.
Hampson filed the lawsuit in November, claiming Eclipse did not make payments or delayed payments for the tail sections. Eclipse had contended its employees had to complete extra work on the tail pieces because of quality problems and that those delays led to the company failing to meet its 2007 production goals.
Under the settlement, Eclipse agreed to make three payments to Hampson by March 14. The amounts of the payments and other terms of the settlement were not disclosed.
''Hampson Aerospace is pleased that the dispute has been resolved with Eclipse and pleased with the terms of the settlement,'' said Clifford K. Atkinson, an attorney for Hampson.
He said Hampson looks forward to the two companies moving on ''cooperatively.''
The lawsuit was dismissed with prejudice, meaning that neither company can reopen any of the disputes, Atkinson said.
Hampson will continue to supply tail sections to Eclipse under a 2003 purchase agreement as amended by the settlement, Atkinson said. The purchase agreement expires at the end of 2013.
Eclipse spokesman Alana McCarraher said of Hampson, ''They're still supplying us parts and we're on good terms.''
Hampson — which builds the tail sections at a factory in Grand Prairie, Texas — had sought damages to cover lost revenue, interruption of its business and delays, attorneys fees and other costs and punitive damages.
Before the settlement, Eclipse had blamed Hampson for Eclipse failing to meet its 2007 production goals. Eclipse produced more than 100 planes last year, but had hoped to be manufacturing an aircraft a day.
The settlement follows a string of good news from Eclipse.
Earlier this month, the company announced more than $100 million in investment from a Holland-based company, European Technology and Investment Research Center. The deal will allow Eclipse to expand its market to Europe, Russia and Turkey and provides for an additional assembly plant to be opened, possibly in Ulyanovsk, Russia.
The aircraft manufacturer also has rehired employees who were laid off last October and is set to hire 700 additional employees this year.
Eclipse has about 2,650 orders for its Eclipse 500 airplane.
