April 2, 2014
Reliance Loses Antitrust Suit
A Houston jury has found that Reliance Steel & Aluminum Co. and its Chapel Steel Corp. subsidiary violated antitrust laws. The jury awarded a $52 million verdict against the company in the lawsuit, which could be trebled under federal antitrust laws.
The suit was filed by two former employees who left the company to start their own business. They claimed Reliance and co-defendant Chapel engaged in anticompetitive activities.
Reliance officials continue to disagree with the claim and the verdict, and say the company will pursue all available remedies, including appeal.
"We are deeply disappointed with the outcome of this trial and we continue to believe that Reliance and Chapel acted appropriately and within their legal rights," says David Hannah, chairman and CEO of the Los Angeles-based company.