Savant Files Antitrust Suit Against Crestron

Crestron launched a campaign to “prevent” dealers from carrying rival Savant Systems’ home and commercial automation programmable controllers to “thwart competition,” Savant said in a suit filed Wednesday in U.S. District Court, Boston.

Crestron, in a series of “anti-competitive business practices,” barred its dealers from selling or distributing Savant products if they wanted to continue receiving Crestron gear, Savant alleged in a 19-page suit. Crestron issued “guides” to dealers comparing its products to Savant’s devices, reminding them that “you can’t be a Crestron dealer and also sell Savant products,” the suit said. Savant controllers are designed to run on Apple’s Macintosh operating system and were recently designed around the iPad tablet PC. Crestron officials weren’t available for comment.

Savant’s rival also offered “substantial discounts” on its products to those dealers expressing an interest in selling Savant gear, the suit said. To get the discounts, dealers have to agree not to carry Savant, the suit said. Crestron has tried to sign pacts under these terms with “virtually all” of its resellers, the suit said.

"Crestron has also misused and continues to misuse its monopoly position in the market and sub-market by penalizing dealers that offer Savant products for resale” by voiding warranties and cash back offers tied to its products, the suit said. There’s no “business justification” for Crestron’s moves other than to “artificially increase” its market share and “illegally exercise” monopoly power, the suit said.

Savant is seeking preliminary and permanent injunctions barring Crestron from entering “exclusionary” agreements barring dealers from distributing Savant products, the suit said. Savant also is seeking damages for “injury caused” by Crestron’s actions, the suit said.