FedEx files suit and cuts ties with the ground delivery contractor

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FedEx Corp has cut its relationship with delivery contractors.

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FedEx filed suit asking a federal judge to stop the contractor from spreading misinformation about its business.

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Spencer Patton has 225 FedEx Ground routes that offer services to roughly 6,000 U.S. contractors.

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Patton told that up to 35% of FedEx Ground delivery providers are at risk of financial failure.

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He requested its leaders to improve compensation and has been rallying "peers to his cause."

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"Really, what I've been advocating and really making the public aware of is that we're in enormous financial distress," Patton said

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"We've seen our fuel prices double in a year. We've seen our wage rates up, our vehicle costs up," Patton also said.

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"And I'm sounding the alarm that the risk of network interruption in FedEx Ground is as high as I've ever seen it.” he also added.

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In its lawsuit, FedEx alleged that Patton is disparaging its Ground business through a series of false and misleading statements about its commercial activities.

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