OtterBox settles case with ex-employee

FORT COLLINS – OtterBox expected to complete a settlement today with a former employee who accused the Fort Collins-based cellphone case maker of underpaying federal import taxes on products it made in China.

According to a status report issued Friday, March 28, by a U.S. District Court in Denver, Otter Products LLC and former supply-chain director Bonnie Jimenez have negotiated an agreement and expected it to be completed by Monday.

Terms of the settlement were not disclosed. Attorneys for either side could not be reached for comment by mid-day Monday.

Authorities with the U.S. Department of Homeland Security and U.S. Customs and Border Protection approved a version of the settlement earlier this month. The status report issued Friday said the terms of the settlement would be executed within two weeks, after which the case would be dismissed.

Jimenez, who worked in customs compliance at OtterBox, contended the company failed to pay customs duties on the full value of its cell-phone cases, violating the False Claims Act. Jimenez sued OtterBox in 2011.

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