APL Logistics and K Line have announced that they have settled in a legal dispute, that sparked when employees from the logistics company spread bankruptcy rumours about the Japanese carrier.

"In September 2016, employees of APL Logistics Ltd.(APLL) sent erroneous e-mails to its customers which were not based on the facts regarding our financial situation. We thereafter filed a lawsuit at the Tokyo District Court in December 2016 demanding damages in relation to such e-mails," said a press release from K Line.

It continued: "APL and its parent company, Kintetsu World Express, Inc., acknowledged the fact that the e-mails included an erroneous report, expressed their regret and responded sincerely, and now we and APLL have reached an amicable settlement in relation to that claim."

Earlier, K Line had said the misinformation had damaged both its reputation and financial performance, as clients had indeed cancelled or suspended bookings. However, APL Logistics Group reverted that it does not endorse the comments made by these employees.