US Steel Launches ‘Longshot’ Attack on Union in Merger Fallout

A US Steel Corp. lawsuit against the United Steelworkers president and a rival manufacturer is likely to fail in court using an untested antitrust argument, yet could still damage the two defendants nonetheless.

US Steel is accusing USW President David McCall and Cleveland-Cliffs Steel Holding Corp. of illegally conspiring together to sabotage a proposed $14.1 billion merger with Japan’s Nippon Steel Corp., costing US Steel billions of dollars in damages.

Even if the claims are unsuccessful, the rarely used legal accusations against the union could rework the dynamic between unions and employers during mergers and raise negative public perceptions, ...