Favelle Favco Berhad has been named as one of 15 defendants in a lawsuit filed in the United States seeking US$52.5 million in damages over losses arising from a crane incident in New York in July 2023.
The crane manufacturer said its wholly owned subsidiary, Favelle Favco Cranes (USA) Inc. (FFC USA), was served with a Summons with Notice on July 23, 2026 in an action brought by Employers Insurance Company of Wausau, acting as subrogee of 555 Tenth Avenue Leasehold Condominium, in the Supreme Court of the State of New York.
The lawsuit names Favelle Favco, FFC USA and 13 other parties as defendants.
According to the company, the plaintiff is seeking damages of US$52.5 million, together with statutory interest, legal costs and disbursements, in connection with losses allegedly arising from a crane incident that occurred in New York on July 26, 2023.
Favelle Favco said FFC USA’s role in the project was limited to supplying the crane involved in the incident.
The company stressed that neither Favelle Favco nor FFC USA owned, operated or maintained the crane at the time of the incident.
It also noted that the official independent investigation into the incident did not attribute the accident to any failure by the crane manufacturer.
“Accordingly, the Company believes that it has strong grounds to defend the claims,” it said.
Favelle Favco added that it has notified its insurer of the legal action and intends to vigorously defend the proceedings.
At this preliminary stage, the company said it does not expect the lawsuit to have any material financial or operational impact on the group.
However, it said it is currently unable to reliably estimate any potential financial exposure arising from the proceedings until the case progresses further.
The litigation remains at an early stage and no determination has been made by the court regarding the merits of the claims.
