Devault Group, Inc., Holland Trucking Company, Files Suit Over Status as a Disadvantaged Business Entity

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woman in hard hat
Image via Devault Group, Inc.
Melissa Hagstotz.

The Devault Group, Inc., of Holland, is suing the City of Philadelphia and the U.S. Department of Transportation (DOT) over its designation as a protected business. Nicholas Malfitano reported the action’s particulars for the Pennsylvania Record.

The trucking firm alleges that the city and the DOT threatened its status as a “disadvantaged business enterprise” (DBE), defined federally as being owned/operated by “economically disadvantaged individuals.” The category includes members of various races. And women.

Devault Group is a trucking firm that supplies many DOT projects. Its owner-operator is Melissa Hagstotz who, by virtue of her gender, is protected.

A project associated with Philadelphia International Airport, however, questioned that status, alleging that the company was actually run by Castor Materials, Inc., headed by Hagstotz’ father.

The airport’s action resulted from his being a white male who is therefore ineligible for the DBE designation.

On appeal, the airport lost its position on the issue.

Devault’s present suit is based on business interruptions caused by the allegation of its ineligibility as a DBE enterprise.

Among other reliefs, Devault seeks nominal and compensatory damages.

More on this story is at the Pennsylvania Record.

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