Wilson v. Airtherm Products, Inc.

436 F.3d 906 (2006)

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Wilson v. Airtherm Products, Inc.

United States Court of Appeals for the Eighth Circuit
436 F.3d 906 (2006)

Facts

Airtherm Products, Inc. (API) (defendant) manufactured heating and air-conditioning products. Mestek, Inc., engaged in the same business area and became interested in purchasing API. Mestek formed a subsidiary called Airtherm LLC (ALLC) for purposes of the purchase. In May 2000, ALLC and API executed an asset-purchase agreement for the sale of API to ALLC, which was later amended to provide that ALLC agreed to rehire most categories of employees such that fewer than 50 employees would lose employment. The sale closed on August 25, 2000, and ALLC hired a substantial number of API employees within a month. A group of former API employees (plaintiffs), including those hired by ALLC, sued API for failure to give notice of a plant closing under the Worker Adjustment and Retraining Notification Act (WARN Act). The district court granted summary judgment for the employees, and API appealed.

Rule of Law

Issue

Holding and Reasoning (Bowman, J.)

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