In the Michigan case, the U.S. importer had requested official approval of the products it was reselling. The importer was denied approval on the technical merits - the Michigan authorities were simply unable to conclude despite numerous inquiries and hearings that the products the importer was outsourcing conformed to applicable product standards referenced in the Michigan Plumbing Code. Mr. Ballanco’s imagined competitive restraint ignores hours and hours of work by Michigan regulators to satisfy themselves that their approval could be granted and the importer’s failure to satisfactorily answer their legitimate questions.
The fact that Mr. Ballanco was a paid consultant for the importer at the same time that he mischaracterized the Michigan actions is mind-boggling. In the hearings, Mr. Ballanco tried to make the case that the reseller was the manufacturer for the purposes of meeting the standard, even though the importer does not own or operate any manufacturing plants and the standard clearly defines the manufacturer as “the entity that cast the pipe and fittings.” Only the foundry that poured the molten iron can verify quality control procedures were followed at the time the material was cast. No third party or reseller can do that after the fact.