J-M's Quota System Caused Shoddy Pipes, FCA Plaintiffs Say
By Matthew Heller
Law360, Los Angeles (September 17, 2013, 9:55 PM EDT) -- J-M Manufacturing Co. Inc. sacrificed quality control and its own “integrity” in a quest to increase production of PVC pipe and then covered up defects in pipe used by municipalities nationwide, five water districts suing the company under the False Claims Act told a California federal jury Tuesday.
The plaintiffs said J-M's 10 U.S. plants operated under a quota system that emphasized speed over quality and caused problems in the “extrusion” process used to manufacture high-pressure PVC pipe. The water districts brought their FCA claims after...