Metal Building Insulation Antitrust Litigation

This lawsuit, which was commenced October 16, 1996, charges certain suppliers of metal building insulation with violating federal antitrust laws by conspiring unlawfully to fix, raise, maintain and stabilize the prices at which metal building insulation products were sold to customers in the United States during the period from January 1, 1994 to December 31, 1995. The plaintiffs are Caddell Construction Co., Inc. and Toron, Inc., d/b/a Anthony Rentals & Sales ("Plaintiffs").

The defendants are Hiplax International Corporation, d/b/a Brite Insulation Corporation, its Vice-President of Sales, Jerrold Warren Killingsworth, and its Executive Vice-President Yun Lung Yueh a/k/a Peter Yueh; Mizell Brothers Company and Wally Huber Rhodes, Jr., its former National Sales Manager and Vice-President of Sales; Bay Industries, Inc.; Therm-All, Inc.; CGI Silvercote, Inc.; PBI Supply, Inc.; and Supreme Insulation, Inc.

The United States Department of Justice, Antitrust Division, has charged the following corporate and individual defendants with criminal antitrust violations, as well: Hiplax, Mr. Killingsworth, Mr. Yueh, Mizell Brothers Company, Mr. Rhodes, Bay Industries, Mark Albert Maloof, the Regional Sales Manager for Bay Industries, Therm-All, Inc. and Supreme Insulation, Inc. Defendants Hiplax, Killingsworth, Yueh, and Rhodes have pled guilty to these criminal charges, and Mr. Maloof was convicted of them. Mizell Brothers also entered a plea to the criminal charges. Therm- All and Supreme were also convicted.

In 2000, Plaintiffs reached separate settlements with Mizell Brothers and Rhodes (the "Mizell Defendants"), and Bay Industries, Inc. ("Bay Industries") (the "Mizell/Bay Settlement"). Notice in connection with the Mizell/Bay Settlement was sent out on September 22, 2000. In addition, Plaintiffs have recently reached settlement agreements with defendants PBI Supply, Inc. and Therm-All, Inc. These proposed settlements, referred to hereafter together as the "Settlements," have been preliminarily approved by the Court. This Notice explains how the proposed PBI and Therm-All Settlements may affect you and informs you of the decisions you need to consider at this time in connection with the Settlements.

All defendants, including PBI and Therm-All, deny all of the material allegations of Plaintiffs' Complaint. The Settlement Class requested in connection with the Settlements is identical to the Settlement Class finally certified by the Court in connection with the Mizell/Bay Settlement and the Court has also conditionally allowed the case to proceed as a class action with regard to the Settlements. However, the Court has not taken any position on the merits of the lawsuit, and the Court's decision to certify a class for purposes of the Settlements should not be interpreted as any indication of whether Plaintiffs will prevail in a trial of this lawsuit.

Read More

Contact us for more information