JM Eagle

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JM Eagle is an American corporation and a manufacturer of plastic pipe. [1] At its 22 plants in North America, the company manufactures polyvinyl chloride (PVC) and high-density polyethylene pipe for a variety of industries including utility, plumbing, electrical, natural gas, irrigation, potable water, drainage, and sewage.

Contents

History

In 1982, Formosa Plastics purchased the eight plants comprising the plastic-pipe operations of Johns Manville to form J-M Manufacturing, headquartered in Livingston, New Jersey. [2]

In November, 2005, Walter Wang acquired 100 percent of the company from Formosa Plastics. [3] J-M Manufacturing grew to a 14-plant enterprise by 2007, when it acquired the second largest plastic-pipe manufacturer, PW Eagle. [4] The company relocated its headquarters to Los Angeles in 2008. [5]

Lawsuits

In 2006, JM Eagle, then known as J-M Manufacturing, faced a whistleblower lawsuit. [6] [7] In January 2006, an engineer accused JM Eagle of selling billions of dollars' worth of defective pipe to states and municipalities around the United States, and the company was sued under the federal False Claims Act. [8] A Los Angeles jury found JM Eagle liable for failing to make 100 percent of its pipe, according to Underwriters Laboratories standards, though an Underwriters Laboratories engineer testified that the company never fell out of compliance during repeated audits. [9] [10] The whistleblower, John Hendrix, had been fired after a customer complained Hendrix had attempted bribery to favorably resolve a warranty claim. [11]

Only two of the five municipalities suing in the first phase of the trial reported any defective pipe, and two others, the state of Nevada and Norfolk, Virginia, both admitted they continued to purchase JM products while aware of the allegations in the lawsuit. [12] JM Eagle sued Phillips & Cohen for libel for post-verdict comments suggesting its products are dangerous and defective. [13] [14]

J-M Manufacturing was involved in a federal qui tam action brought on by various public entities, but while the lawsuit was pending law firm Sheppard Mullin Richter & Hampton went on to represent one of the public entities involved. Both clients had signed engagement agreements stating they had waived any such conflicts of interest, but the agreements did not disclose the specific conflicts, and Shepard did not advise either client of the conflicts. In August 2018, the California Supreme Court reversed a fee award that had been granted in favor of the law firm, maintaining that the firm's conflict of interest invalidated its entire agreement with J-M Manufacturing, including the arbitration clause, and thereby rendered its fee award a nullity. [15] [16] [17]

Philanthropy

JM Eagle participates in various philanthropic efforts, particularly where polyvinyl chloride (PVC) piping can help facilitate the acquisition of natural resources in underprivileged communities. In 2009, Columbia University's The Earth Institute worked with the United Nations and JM Eagle to create innovative water systems for over 300,000 people in Sub-Saharan countries, including Rwanda, Kenya, and Uganda. [18]

JM Eagle donated 45,600 feet of PVC pipe to construct an 8.5-mile pipeline to facilitate the acquisition of clean water in Santa Cruz, Honduras. [19]

JM Eagle has provided scholarships for young African students to assist in education through college and aided in clean water delivery, including irrigation and sanitation systems, in Northern Thailand, in the villages of Santisuk and Pateung. [20] JM Eagle supports China's efforts to provide its entire population with clean water. [21] [22] [23] [24]

Related Research Articles

<span class="mw-page-title-main">Polyvinyl chloride</span> Common synthetic polymer

Polyvinyl chloride (alternatively: poly(vinyl chloride), colloquial: polyvinyl, or simply vinyl; abbreviated: PVC) is the world's third-most widely produced synthetic polymer of plastic (after polyethylene and polypropylene). About 40 million tons of PVC are produced each year.

<span class="mw-page-title-main">Plumbing</span> Systems for conveying fluids

Plumbing is any system that conveys fluids for a wide range of applications. Plumbing uses pipes, valves, plumbing fixtures, tanks, and other apparatuses to convey fluids. Heating and cooling (HVAC), waste removal, and potable water delivery are among the most common uses for plumbing, but it is not limited to these applications. The word derives from the Latin for lead, plumbum, as the first effective pipes used in the Roman era were lead pipes.

<span class="mw-page-title-main">Thermoplastic</span> Plastic that softens with heat and hardens on cooling

A thermoplastic, or thermosoft plastic, is any plastic polymer material that becomes pliable or moldable at a certain elevated temperature and solidifies upon cooling.

<span class="mw-page-title-main">Phthalate</span> Any ester derived from phthalic acid

Phthalates, or phthalate esters, are esters of phthalic acid. They are mainly used as plasticizers, i.e., substances added to plastics to increase their flexibility, transparency, durability, and longevity. They are used primarily to soften polyvinyl chloride (PVC). Note that while phthalates are usually plasticizers, not all plasticizers are phthalates. The two terms are specific and unique and cannot be used interchangeably.

<span class="mw-page-title-main">Salvador Vassallo (businessman)</span> Puerto Rican businessman

Salvador V. Vassallo was the president and CEO of Vassallo Industries, headquartered in Ponce, Puerto Rico. The company produces PVC injection moulded and extruded goods, and markets them worldwide.

<span class="mw-page-title-main">High-density polyethylene</span> Class of polyethylenes

High-density polyethylene (HDPE) or polyethylene high-density (PEHD) is a thermoplastic polymer produced from the monomer ethylene. It is sometimes called "alkathene" or "polythene" when used for HDPE pipes. With a high strength-to-density ratio, HDPE is used in the production of plastic bottles, corrosion-resistant piping, geomembranes and plastic lumber. HDPE is commonly recycled, and has the number "2" as its resin identification code.

Cross-linked polyethylene, commonly abbreviated PEX, XPE or XLPE, is a form of polyethylene with cross-links. It is used predominantly in building services pipework systems, hydronic radiant heating and cooling systems, domestic water piping, insulation for high tension electrical cables, and baby play mats. It is also used for natural gas and offshore oil applications, chemical transportation, and transportation of sewage and slurries. PEX is an alternative to polyvinyl chloride (PVC), chlorinated polyvinyl chloride (CPVC) or copper tubing for use as residential water pipes.

<span class="mw-page-title-main">Pipe (fluid conveyance)</span> Tubular section or hollow cylinder

A pipe is a tubular section or hollow cylinder, usually but not necessarily of circular cross-section, used mainly to convey substances which can flow — liquids and gases (fluids), slurries, powders and masses of small solids. It can also be used for structural applications; hollow pipe is far stiffer per unit weight than solid members.

<span class="mw-page-title-main">Formosa Plastics Corp</span> Taiwanese plastics company

Formosa Plastics Corporation is a Taiwanese plastics company based in Taiwan that primarily produces polyvinyl chloride (PVC) resins and other intermediate plastic products. It is the corporation around which influential businessman Wang Yung-ching formed the Formosa Plastics Group, and it remains central to the Group's petrochemical operations. The president of Formosa Plastics Corp. (FPC) is Jason Lin (林健男).

<span class="mw-page-title-main">Plastic extrusion</span> Melted plastic manufacturing process

Plastics extrusion is a high-volume manufacturing process in which raw plastic is melted and formed into a continuous profile. Extrusion produces items such as pipe/tubing, weatherstripping, fencing, deck railings, window frames, plastic films and sheeting, thermoplastic coatings, and wire insulation.

<span class="mw-page-title-main">Piping and plumbing fitting</span> Connecting pieces in pipe systems

A fitting or adapter is used in pipe systems to connect straight sections of pipe or tube, adapt to different sizes or shapes, and for other purposes such as regulating fluid flow. These fittings are used in plumbing to manipulate the conveyance of water, gas, or liquid waste in domestic or commercial environments, within a system of pipes or tubes.

<span class="mw-page-title-main">Plastic pipework</span> Tubular section or hollow cylinder made of plastic

Plastic pipe is a tubular section, or hollow cylinder, made of plastic. It is usually, but not necessarily, of circular cross-section, used mainly to convey substances which can flow—liquids and gases (fluids), slurries, powders and masses of small solids. It can also be used for structural applications; hollow pipes are far stiffer per unit weight than solid members.

<span class="mw-page-title-main">Ductile iron pipe</span>

Ductile iron pipe is pipe made of ductile cast iron commonly used for potable water transmission and distribution. This type of pipe is a direct development of earlier cast iron pipe, which it has superseded.

<span class="mw-page-title-main">Industrias Vassallo</span> PVC pipes manufacturer in Ponce, Puerto Rico

Industrias Vassallo, Inc. is a "worldwide leader" in the manufacture and distribution of PVC injection moulded and extruded goods, and manufacturer and distributor of PVC pipes and accessories, related plastics products, and resin furniture. The company is located in Barrio Coto Laurel in Ponce, Puerto Rico. In 2004, the company had a workforce of 300 employees and revenues of $51M USD. Its president is Rafael Vassallo. Salvador Vassallo was the company's CEO and president until his death in 2007.

<span class="mw-page-title-main">Plastic</span> Material of a wide range of synthetic or semi-synthetic organic solids

Plastics are a wide range of synthetic or semi-synthetic materials that use polymers as a main ingredient. Their plasticity makes it possible for plastics to be moulded, extruded or pressed into solid objects of various shapes. This adaptability, plus a wide range of other properties, such as being lightweight, durable, flexible, and inexpensive to produce, has led to its widespread use. Plastics typically are made through human industrial systems. Most modern plastics are derived from fossil fuel-based chemicals like natural gas or petroleum; however, recent industrial methods use variants made from renewable materials, such as corn or cotton derivatives.

VinyLoop is a proprietary physical plastic recycling process for polyvinyl chloride (PVC). It is based on dissolution in order to separate PVC from other materials or impurities.

<span class="mw-page-title-main">Conservation and restoration of plastic objects</span>

Conservation and restoration of objects made from plastics is work dedicated to the conservation of objects of historical and personal value made from plastics. When applied to cultural heritage, this activity is generally undertaken by a conservator-restorer.

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HDPE pipe is a type of flexible plastic pipe used for fluid and gas transfer and is often used to replace ageing concrete or steel mains pipelines. Made from the thermoplastic HDPE, its high level of impermeability and strong molecular bond make it suitable for high pressure pipelines. HDPE pipe is used across the globe for applications such as water mains, gas mains, sewer mains, slurry transfer lines, rural irrigation, fire system supply lines, electrical and communications conduit, and stormwater and drainage pipes.

Walter Wang is a Taiwanese philanthropist, businessperson, and CEO. He is the co-founder of The Walter and Shirley Wang Foundation, and JMM Foundation, a philanthropic organization. He is also the CEO of JM Eagle, a global manufacturer of plastic pipe. Wang's father was Wang Yung-ching, founder of the plastics and petrochemicals conglomerate Formosa Plastics Group and one of the wealthiest individuals in Taiwan before his death in 2008. His sister is Cher Wang, co-founder and chairperson of HTC Corporation and integrated chipset maker VIA Technologies.

References

  1. ↑ "Plastics News - Pipe, Profile & Tubing Extruders". Plastics News. 4 July 2011. Retrieved 3 October 2011.
  2. ↑ "J-M Manufacturing to celebrate 30 years in Pueblo West" . Retrieved 13 January 2012.[ permanent dead link ]
  3. ↑ "Members Committee 100" . Retrieved 14 June 2020.
  4. ↑ "PW Eagle to be bought by J-M Manufacturing". Reuters. 15 January 2007. Retrieved 3 October 2011.
  5. ↑ "JM Eagle Completes Move to Los Angeles". National Driller. Retrieved 13 January 2012.
  6. ↑ "States and water districts join qui tam suit against PVC pipe manufacturer". Phillips & Cohen. 2010-02-16.
  7. ↑ Walsh, Mary Williams (12 February 2010). "Bursting Pipes Lead to a Legal Battle". The New York Times. ISSN   0362-4331.
  8. ↑ "Whistleblower lawsuit claims PVC company knowingly sold faulty pipes". Daily News. 21 May 2010.
  9. ↑ "JM Eagle Faces Billions In Damages After Jury Finds JM Liable For Fraud For Making And Selling Faulty Water System Pipes". www.wateronline.com. 15 November 2013.
  10. ↑ Roulo, Candace (1 October 2010). "PVC pipe class action lawsuit filed against JM Eagle". www.contractormag.com.
  11. ↑ Fisher, Daniel (6 June 2014). "Law Firm Can Be Sued Over Claims In Post-Verdict News Release, Judge Says". Forbes.
  12. ↑ Kavanaugh, Catherine (17 November 2018). "Whistleblower case against JM Eagle ends in mistrial". Plastics News.
  13. ↑ "Manufacturing Company Inc. v. Phillips Cohen LLP". Findlaw.
  14. ↑ Fisher, Daniel (30 April 2014). "Taiwanese Plastics Heir Fights Cancer, Litigation To Build World's Biggest Pipemaker". Forbes.
  15. ↑ Marinello, Mitchell L. (6 December 2018). "Ethics Misstep Leads to Fee Award Being Vacated". www.americanbar.org.
  16. ↑ Cutler, Joyce E. (5 June 2018). "Sheppard Mullin Conflict Waiver Case Puts $4M Fee at Stake". news.bloomberglaw.com.
  17. ↑ Jarvis, Peter R.; Rich, Trisha M. (7 September 2018). "Calif. Supreme Court Breaks New Ground on Arbitrability, Future Waivers and Quantum Meruit | Insights | Holland & Knight". www.hklaw.com.
  18. ↑ "JM Eagle CEO Walter Wang Tours Millennium Villages in East Africa" . Retrieved 14 June 2020.
  19. ↑ "JMM Brings Clean Water To Small Village In Honduras". JM Eagle Official Website. Archived from the original on 17 November 2011. Retrieved 3 October 2011.
  20. ↑ "Next step in 21st century education for students in Africa" . Retrieved 14 June 2020.
  21. ↑ "UCLA - The Optimists" . Retrieved 14 June 2020.
  22. ↑ "UCLA Foundation names new board members" . Retrieved 14 June 2020.
  23. ↑ "Emphasizing the 'Family' in Family Business" . Retrieved 14 June 2020.
  24. ↑ "A Tradition of Closeness and Compassion" (PDF). Retrieved 14 June 2020.
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