Judge rejects motion to dismiss employee grievance lawsuit against Merillat
RAPID CITY, SD – A U.S. District Court Judge denied a motion from Masco to dismiss the lawsuit over unpaid severance for about 160 workers at the former Merillat particleboard plant. Merillat is a division of Masco.
 
According to the Rapid City Journal, Judge Jeffery Viken ruled, “Plaintiffs have alleged enough facts to state plausible claims for breach of contract and double damages.”
 
The Merillat particleboard was sold to Dakota Panel. Most of the employees were offered jobs with Dakota Panel, a manufacturer of countertops.

Masco argued that since Merillat employees were not actually released from their jobs, they are not owed severance pay.

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