SALEM, Ore. (AP) -- Oregon Ironworks is suing the State of Oregon over a contract that's supposed to mitigate the negative impacts of a proposed Interstate 5 bridge across the Columbia River.
Some of the products that the company manufacturers and ships on the river would not fit under the new bridge, which would have a shorter maximum clearance than the existing one.
The state agreed in May to pay $12 million to compensate the company. But Oregon Ironworks says in a lawsuit filed Friday in Clackamas County that the state's agreements with two other companies would undermine its ability to compete.
Oregon agreed to pay $25 million to one company and $50 million to another. Oregon Ironworks argues that those amounts have nothing to do with their actual potential for lost business.
The Oregon Department of Transportation called the lawsuit "frivolous."