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UNITED FORMING, INC.

470 Riverside Parkway

Austell, GA 30168

 

History & Operations

United Forming, Inc. is an employee-owned, private concrete structure builder with offices in Georgia, Texas, Florida, and North Carolina. According to its website, United Forming has over 800 employees and is one of the largest concrete builders in the South (other sources list United Forming’s employee count much higher). According to Concrete Construction’s annual rankings for 2009, United Forming was the 5th largest concrete company in the US, with $241 million in annual revenues. Steve Lewis replaced long-time company head Tom Owens as CEO in August 2008.

OSHA Record

In the past decade United Forming has been the subject of dozens of OSHA investigations. Even after Informal Settlements and other dispositions resulted in dozens of deleted violations and reduced penalties, OSHA has fined the company nearly $100,000 for over 40 violations.

The company’s OSHA inspections include two fatalities. Jose Gonzales-Perez, 22, a form carpenter working on a high-rise condo in Holly Hill, FL fell 7 stories to his death. The local police chief stated “it appears that he was not properly tethered.” OSHA found the employee at fault and closed its investigation in October 2006 with no penalties to the employer. In October 2007, engineer Michael Long, an employee of UFI, fell to his death from the 10th floor of a condo under construction in Orange Beach, AL. UFI paid a $5,000 penalty and the case was closed in November 2008.

According to an EHS Today article, in 2003 OSHA cited UFI for “failing to protect employees working near unguarded elevator shafts, and failing to provide employees with proper fall arrest equipment and safe access to work areas.” OSHA deemed the violations “repeat” and initially proposed over $100,000 in penalties.

Click below for summaries of OSHA investigations of United Forming:

OSHA Investigations 2008 – Present

OSHA Investigations 2006 – 2008

OSHA Investigations 2002 – 2006

OSHA Investigations 2000 – 2002


Litigation


United Forming has been involved in approximately 40 lawsuits in the past decade. Below is a summary of just a few cases that were active in the past 2 years:

Case Name

Court

Summary

Filings

Riccaboni v. United Forming US District Court, Orlando, FL The plaintiffs claim they were unjustly deprived of wages and bonuses, including overtime pay. United Forming denied that either plaintiff was eligible for bonuses or overtime.

Amended Complaint

Answer to Amended Complaint

MMR Constructors, Inc. v. United Forming, Inc. US District Court, Baton Rouge, LA MMR Constructors claims UFI owes it $77,132.73 for work done at the ThyssenKrupp steel mill. UFI denies any wrongdoing. The case is pending.

Complaint

Answer

Gancedo Lumber Co., Inc. v. United Forming, Inc. et al US District Court, Miami, FL Gancedo Lumber claims UFI owed roughly $75,000 in change orders from Miami Intermodal Center. United Forming denied the allegations. Plaintiff voluntarily filed for dismissal with prejudice

Complaint

Notice of Removal

Answer

Dismissed with Prejudice

Bolden v. United Forming

US District Court, Orlando, FL

The plaintiff claimed he and others with the title “Field Engineer” were owed overtime pay under the Fair Labor Standards Act.  Although United Forming denied the plaintiff was eligible for overtime, a settlement was reached in which United Forming paid Bolden $8,946 in back pay and damages, plus up to $5,000 in attorney’s fees.

Complaint
Answer
Settlement
Agreement

United Forming v. Bovis Lend Lease et. al.

US District Court, Atlanta, GA

United Forming sued Bovis and three insurance companies for over $5.1 million in a contract dispute over work performed on the St. Regis Hotel in Atlanta. Bovis countersued alleging defective work.  The case is pending.

Complaint
Answer by Insurers
Answer by Bovis
Answer to Counterclaim

United Forming v. Faulkner USA

US District Court, San Antonio, TX

United Forming won a judgment of almost $7 million in a contract dispute with the contractor for the Grand Hyatt, San Antonio's convention center headquarters hotel.  An appeals court upheld the judgment in October 2009.

Complaint
Motion to Confirm Arbitration Award
Judgment

Gomez et. al. v. United Forming

US District Court, Orlando, FL

Gomez, joined later by other plaintiffs, claimed he was owed overtime pay under the Fair Labor Standards Act. The plaintiffs lost a ruling on class action status, and the case was dismissed in March 2010.

Complaint
Answer
United Forming Response to Interrogatories
United Forming Response to Class Motion
Exhibit
Dismissal

Outsource Services Management v. Lake Austin Properties, United Forming et. al.

US District Court, Orlando, FL

The plaintiff, the lender for the Grande Palisades development near Orlando, sued over 30 companies involved in the project.  United Forming countersued for $2.6 million in allegedly unpaid invoices.  The case is pending.

Complaint
Answer
Construction Agreement
Payment Affidavit
Lien Letter

Pierre v. United Forming

US District Court, Miami, FL

The plaintiff sued alleging race and national origin discrimination.  The parties settled the case shortly after United Forming filed an answer denying the allegations.

Complaint
Dismissal

Sabella v. United Forming

US District Court, Orlando, FL

A former project superintendant sued for an unspecified amount, alleging he was owned compensation under his employment contract.  United Forming denied the allegations, the case was settled in mediation in March 2010.

Amended Complaint
Answer
Notice of Settlement

Davis/Stresscon v. United Forming et. al.

US District Court, Knoxville, TN

The plaintiff, a subcontractor on a project at the nuclear facility in Oak Ridge, TN, sued for $3.7 million over a contract dispute.  United Forming countersued the general contractor on the project.  Co-defendant Caddell/Blaine has since filed a cross-claim against United Forming.

Amended Complaint
Answer
Motion to Stay
Crossclaim
UFI Answer


Tax Liens

Just over $117,000 in state and federal tax liens (including interest and penalties) have been issued against United Forming in the past few years. Click “Amount” in the chart below to download a copy of a tax lien, and “Release Date” for a copy of the release (the Mississippi liens are not available).

Secured Party

Filed

Amount

Released

South Carolina Dept of Revenue

06/28/2004

$19,611.52

06/29/2004

Georgia Dept of Labor

08/09/2004

$1,774.17

10/18/2004

State of Mississippi

10/09/2006

$340.00 

06/06/2007 

Georgia Dept of Labor

05/28/2008

$4,737.79

08/15/2008

IRS

01/20/2009

$79,347.48

02/23/2009

State of Mississippi 2/24/2010 $5,536.00  
State of Mississippi 2/24/2010 $5,582.00  


Undocumented Workers

According to news accounts, the ongoing $350 million Duvall County Courthouse project in Jacksonville, FL has had repeated problems with undocumented workers. After three rounds of arrests at the project, a cross-check of records by federal immigration officials in November 2009 found 103 of about 350 workers authorized to work on the site provided what appeared to be false identification documents. All of the workers with questionable documentation worked for United Forming or one of its subcontractors.

The general contractor on the Courthouse project, Turner Construction, announced in December that it would employ off-duty police officers to man the two gates and check the IDs of every worker who steps foot on the Duval County Courthouse construction site.

United Forming has had other high profile troubles with undocumented workers going at least as far back as 1995, when 37 of its employees were arrested during the construction of the Olympic Village in Atlanta.

Pension/Benefits

United Forming has an Employee Stock Ownership Plan, founded in 2001. In 2007, the plan purchased all stock held by the founder and became completely employee owned. Each year, the Plan allocates shares of stock to employees based on their compensation. In 2008, the Plan had 1,108 active participants. That number dropped by more than half to 525 active participants in 2009.

United Forming also has a 401k plan. In 2006 the number of participants with account balances in the plan is only one-third the number of participants in the ESOP. The number dropped dramatically in 2009, now only close to one-fifth of participants in the ESOP have account balances in the 401k plan. The following is a summary of data from the three most recent available plan years:

Description

2005

2006

2009

Active Participants

559

882

1031

Participants With Account Balances

396

357

321

Total Plan Assets

$8,380,117

$10,479,109

$11,006,645

Employer Contributions

$353,551 (31%)

$500,576 (36%)

$338,349 (32%)

Employer Contributions/Participant

$632.47

$567.55

$328.18

Participant Contributions

$772,940 (69%)

$907,435 (64%)

$719,332 (68%)

Benefits Paid

$598,939

$455,395

$1,635,997

Participant Loans

$221,896

$198,068

$18,225

According to the most recent available filings for the United Forming Welfare Benefit Plan, it appears that about half of the employees participate in the company’s healthcare plan.  The plan had 414 participants in 2008 and 2009, and 422 participants in 2007.