Mediation dates set for lawsuit involving Wacker, IDB and contractor

By AUTUMN HUGHES
Posted 5/25/20

Two attempted mediation dates have been set for a lawsuit filed against Wacker Polysilicon and the Cleveland/Bradley Industrial Development Board.

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Mediation dates set for lawsuit involving Wacker, IDB and contractor

Posted

Two attempted mediation dates have been set for a lawsuit filed against Wacker Polysilicon and the Cleveland/Bradley Industrial Development Board.

At issue is a dispute over more than $4 million in unpaid work at Wacker's HDK plant in Charleston. The suit was filed earlier this month by Viking Industrial in the United States District Court for the Eastern District of Tennessee, Chattanooga Division.

The IDB heard an update on the case last week from its attorney Ginger Buchanan, who has filed motions to dismiss the action against the board.

"It's a nonpayment case," Buchanan said.

According to a filed document, Viking contends Wacker has not paid for work as specified in an August 2018 contract between the two parties.

The 2018 contract between Wacker and Viking fixed the full compensation for the work at $18.5 million.

The IDB, which owns the property and building where the plant is located, is also a defendant in the suit. Wacker leases the site from the IDB.

Buchanan informed IDB members a meeting had been scheduled with representatives from Viking and Wacker, without counsel present. If there is no resolution, the case will be on the court calendar, she said.

In addition, there is a June 19 scheduling conference with a magistrate judge to set a court date for the case. Buchanan said by June 19 "there may be resolution to the case."

In other business, the IDB:

• Approved a request by Wacker Polysilicon North America LLC to authorize the chairman to sign an agreement with TVA for the modification of reserved "flowage" easement rights on the Wacker Polysilicon property.

• Approved an agreement for grant administration services with the Southeast Tennessee Development District for potential Tennessee FastTrack Economic Development Grant for a confidential manufacturing project.

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