South Carolina Court of Appeals Allows Public Utility’s Lawsuit Over Defective Ductile Iron Pipe to Proceed in Court
GREENVILLE, S.C. — The South Carolina Court of Appeals has denied United States Pipe and Foundry Company, LLC’s attempt to force Greenville Water into arbitration, clearing the way for the public utility’s lawsuit over allegedly defective ductile iron pipe to continue in court.
In an unpublished opinion issued March 12, the Court of Appeals affirmed a lower court decision, holding that Greenville Water is not bound by an arbitration provision contained in U.S. Pipe’s terms and conditions with its distributors. The court found that Greenville Water’s claims arise under South Carolina law and do not depend on any contract containing an arbitration agreement.
Greenville Water, which provides drinking water to more than 500,000 residents, alleges that ductile iron pipe manufactured at U.S. Pipe’s Lynchburg, Virginia facility failed to meet required industry standards due to substandard cement‑mortar lining. According to the complaint, the defects cause corrosion, clogs, deterioration of water quality, and risks to public health and fire‑prevention systems, despite U.S. Pipe’s certification that the pipe complied with American National Standards Institute and American Water Works Association standards.
“Public water systems are critical to the health and safety of the communities they serve,” said DiCello Levitt Founding Partner Adam Levitt. “We are proud to represent Greenville Water in its efforts to protect hundreds of thousands of people who rely on safe, reliable drinking water and to hold manufacturers accountable for the integrity of essential infrastructure.”
The ruling represents a significant procedural victory in the case, which seeks damages for the cost of removing and replacing the defective pipe, reimbursement of the purchase price, and punitive damages for alleged unfair and deceptive trade practices.
The case is Commissioners of Public Works of the City of Greenville, South Carolina v. United States Pipe and Foundry Company, LLC, et al. Greenville Water is represented by DiCello Levitt attorneys Adam Levitt, Daniel Flynn, Justin Hawal, and Anna Claire Skinner.
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