News & Press Coverage
March 3, 2011

Preti Flaherty Wins $19 million Jury Verdict for Semi-Materials Co., Ltd.

A Jury in St. Louis Federal Court Renders Verdict for Semi-Materials in Breach of International Sales Contract Case

PORTLAND, ME (March 3, 2011) – Preti Flaherty announced today that a federal jury in St. Louis, MO has ordered St. Peters, MO based MEMC Electronic Materials, Inc. (NYSE: WFR) to pay $19 million to Semi-Materials Co., Ltd., a Korean manufacturer of solar energy products, for breach of international sales agreements to sell polysilicon and silicon ingots. Semi-Materials was represented by the law firms Preti Flaherty of Portland, ME and Menees, Whitney, Burnet & Trog of Clayton, MO during a seven-day jury trial in the U.S. District Court for the Eastern District of Missouri in St. Louis. The seven-person jury rendered its verdict on March 2, 2011 before U.S. Magistrate Judge Frederick R. Buckles.

Preti Flaherty filed the lawsuit in 2006 against MEMC Electronic Materials, Inc. and MEMC Pasadena, Inc., both U.S. manufacturers of polysilicon, for breach of sales agreements. The team of Preti Flaherty attorneys included lead trial attorney Greg Hansel, along with Randall B. Weill, Joshua R. Carver, Megan A. Sanders, Adam T. Rick and paralegal Julie DeFrancesco. Attorney Hardy Menees of St. Louis, MO served as Missouri trial counsel. MEMC was represented by Bryan Cave, a global law firm headquartered in St. Louis, MO.

This complex breach of contract claim was decided under United Nations Convention on Contracts for the International Sale of Goods, an international treaty on commercial transactions that has been adopted by Congress into U.S. law.

Preti Flaherty successfully proved that MEMC had breached three contracts to sell initial shipments of goods at a high price and later shipments at a low price. The high-low contracts between MEMC and Semi-Materials were the subject of an audit of MEMC's filings with the SEC. The auditors, KPMG, forced MEMC to restate its earnings in amended SEC filings.

According to Greg Hansel of Preti Flaherty, "This jury verdict is a clear victory for Semi-Materials after five years of hard fought litigation. We appreciate the jury's thorough deliberation which not only vindicates our client, but also upholds the letter of the law and the spirit of international trade."

Kun Park of Seoul, Korea, who serves as CEO of Semi-Materials, testified during the trial, along with MEMC's former CEO, Nabeel Gareeb, who appeared via court-ordered video deposition. Semi-Materials' witnesses spoke to the jury through an interpreter in their native Korean language.

Semi-Materials Co., Ltd is a Korean supplier of solar energy products based in Seoul, Korea with a U.S. facility located in San Jose, CA. Learn more about Semi-Materials at www.semimaterials.com.

Firm Highlights

Publication

Helping Employers Navigate the New Independent Contractor Rule and Compliance Challenges

On March 11 th , the United States Department of Labor’s (DOL) new Independent Contractor Rule goes into effect.  As your organization readies itself for compliance, it’s imperative to scrutinize your independent contractor classifications...

Event

Good Energy: Jazz, Cocktails, and Camaraderie

Preti Flaherty and Phelps Dunbar will be hosting an afterhours event: ‘Good Energy: Jazz, Cocktails, and Camaraderie’ at The Oceantic Network’s annual IPF Offshore Wind Conference. The event will be held on April 23...

Publication

USCIS Announces H-1B Registration Period for FY2025: New “Beneficiary Centric” Registration Process and Increased Fees

USCIS has recently announced a series of changes that will impact the FY2025 H-1B registration system and cap filing season. H-1B Registration Period and Organizational Accounts As in prior years, under this process, prospective petitioners...

News

Preti Attorneys File Suit Against Al-Generated Robocalls in the 2024 NH Presidential Primary

Representing the League of Women Voters of New Hampshire, the League of Women Voters of the United States, and individual voters, Preti Flaherty, with co-counsel, filed a federal lawsuit against Steve Kramer, Lingo Telecom...

Event

When to Say Goodbye: Navigating Leave and Terminations

As an HR professional, hiring the right talent, addressing employee needs, and managing terminations are just a few of the most challenging problems that arise. During this year's three-part Employment Breakfast Webinar Series, we'll...

Publication

Important Updates to American Arbitration Association Construction Industry Rules and Mediation Procedures

The American Arbitration Association (AAA) updated its Construction Industry Rules and Mediation procedures (AAA Rules), effective March 1, 2024, marking the first update since 2015. The updates are important because the AAA Rules are...

News

Attorney Jeffrey Thaler Named to 2024 Lawdragon Green 500: Leaders in Energy Law

Preti Flaherty’s attorney Jeffrey Thaler has been recognized by  Lawdragon  as one of the top 500 Leaders in Energy Law. This is Jeff’s third time named to this prestigious list since the first publication...

Publication

Failure to Follow Your Contract's Notice Requirements Can be Costly

In Kinetic Systems, Inc. v. IPS-Integrated Projects Services, LLC et. al., No.: 20-cv-1125 (D.N.H. February 6, 2024), the U.S. District Court for the District of New Hampshire granted summary judgment for a general contractor...

Event

Building a Strong Discipline and Performance Management Framework

As an HR professional, hiring the right talent, addressing employee needs, and managing terminations are just a few of the most challenging problems that arise. During this year's three-part Employment Breakfast Webinar Series, we'll...

News

Benchmark Litigation Names Preti Flaherty 2024 “Maine Firm of the Year"

Benchmark Litigation  has named Preti Flaherty as 2024 Litigation Firm of the Year in the State of Maine. Through extensive peer- and- client reviewed research, as well as analysis of casework; the Benchmark Awards...