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Steel bar maker, steel distributor file lawsuits

Keywords: Tags  breach of contract lawsuits, McDonald Steel, Clearspan Construction Products, PDM Steel Service Centers, MW Builders of Texas, Silver State Steel, steel bar, steel fabrications Corinna Petry


CHICAGO — A steel bar mill in Ohio and a service center in Nevada have filed separate breach-of-contract complaints in federal courts.

McDonald Steel Corp., McDonald, Ohio, has sued Clearspan Construction Products LLC, Pittsburgh, for allegedly failing to pay for a shipment made in June of hot-rolled special bar sections worth more than $134,000, according to the complaint, which was transferred last week to U.S. District Court in Ohio.

According to a purchase order filed alongside the suit, Clearspan ordered 225 tons of A709/A588 Grade 50 bars 5 3/16th-inch in diameter and of varying lengths but never paid for the material.

Clearspan refutes the claims, however, alleging in its response that McDonald Steel "may not have properly credited Clearspan with all payments made on account or with all credits which may otherwise be due to Clearspan." It has asked the court to dismiss the case.

McDonald Steel specializes in producing hot-rolled steel near-net shapes, as well as bar. Clearspan fabricates steel products for use in heavy industrial and infrastructure projects, according to its website. Clearspan could not be reached for further comment Monday.

Meanwhile, PDM Steel Service Centers Inc. has sued MW Builders of Texas Inc., Silver State Steel Group Inc., two insurance companies, and other unnamed defendants and bonding companies for alleged nonpayment of nearly $149,700 worth of steel it says it provided, according to a suit filed Dec. 27 in U.S. District Court in Nevada.

MW Builders was the general contractor on a project for the U.S. Army Corps of Engineers at the Army Reserve Center in Las Vegas, the suit said. As part of a multi-million-dollar contract, MW Builders subcontracted Silver State Steel to fabricate and install steel construction framework, which purchased steel goods and related building materials from PDM for the project, according to the complaint.

The insurers and bonding companies are included in the complaint because their purpose was to ensure payment for labor and materials provided by subcontractors to the Army Reserve Center project, the lawsuit said.

PDM is seeking payment, all legal costs and any relief the court deems proper.

Neither MW Builders nor Silver State Steel could be reached for comment Monday.


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