Jan. 27, 2016—A jury has found Sherwin-Williams guilty of fraud and concealment, intentional misrepresentation, and negligent misrepresentation in regard to its AWX automotive waterborne paint line.
John Tyczki, owner of three auto body shops in San Diego, filed a cross-complaint after he was initially sued by the paint company for breach of contract. Tyczki alleged that the AWX product line was defective and that Sherwin-Williams was aware of the defects and should be held liable for fraud and concealment, and intentional and negligent misrepresentation about the paint products sold.
The jury agreed with Tycksi and awarded $3.25 million against Sherwin-Williams, which after an offset for the contract claims, resulted in a net award of over $2.875 million.
