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Suit alleging Foxconn cost local governments money dismissed

MILWAUKEE (AP) — A Wisconsin court has dismissed a lawsuit alleging that Foxconn Technology Group violated terms of its contract by failing to build a manufacturing plant in southeast Wisconsin.

The suit brought last month by Caledonia resident Daniel Hintz and Hintz Real Estate Development Co. said Foxconn promised to construct a Generation 10.5 LCD manufacturing facility while local governments spent hundreds of millions of dollars to prepare for the project.

Foxconn did not employ local workers in manufacturing and construction “to the extent agreed” and failed to make capital investments in the county and village “to the extent agreed,” the lawsuit filed in Racine County Circuit Court said.

The suit was dismissed Friday, the Milwaukee Journal Sentinel reported.

Wisconsin landed plans for Foxconn’s first American factory after then-Gov. Scott Walker offered more than $3 billion in tax incentives, but the company’s plans were later scaled back. The original plan was for Foxconn to build a Gen 10. 5 LCD facility, capable of building large screens, but the project was scaled back to a Gen. 6 facility.

The lawsuit was filed on behalf of Racine County and the Village of Mount Pleasant, but it also named the county and the village as the defendants along with Foxconn.

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