Cengage Learning filed suit against Houghton Miffln Harcourt in a Manhattan Federal Court, seeking at least $20 million and alleging breach of warranty, misrepresentation and bad faith. They allege that Houghton pumped inexpensive college textbooks to international buyers with “known propensities to redistribute these textbooks back into the U.S. market through unauthorized distribution channels” prior to the sale of the division. They complain that those sales inhibited Cengage’s ability to sell to legitimate international distributors and poisoned the US market as those companies redistributed the cheap copies back into the home market. Cengage claims HMH agreed “to not behave ‘outside […]
