FOLLOW US

An Oregon-based flooring company, Wellmade Floor Coverings International, and its Georgia affiliate, Wellmade Industries Mfr. NA LLC, are facing a federal lawsuit in Georgia alleging trafficking and forced labor violations. The lawsuit, filed by Chinese nationals Yu Cong Liu, Yixiang Zhang, and Can Gen Han, accuses the company and key executives of exploiting workers recruited from China under false pretenses.

According to the complaint filed on Tuesday in the U.S. District Court for the Northern District of Georgia, the plaintiffs were promised supervisory or trainer roles, free housing, medical care, and visa assistance. Upon arrival at the Cartersville manufacturing facility, the workers claim they were subjected to forced labor, working 12-hour shifts six days a week under unsafe conditions, and were required to perform unpaid chores at the home of owner George Chen.

The workers further allege that promised free housing was instead deducted from their wages, and that living quarters were overcrowded, unsanitary, and unsafe. They were reportedly prohibited from leaving their housing without permission and had their passports confiscated, preventing them from leaving the abusive environment.

The lawsuit states that the plaintiffs only escaped the forced labor situation either by sneaking away at night or through a federal and state law enforcement raid conducted in March 2025, which resulted in the arrests of George Chen, Morgan Chen, and Jian Jun Lun on charges of labor trafficking.

In a statement, FBI Atlanta confirmed its ongoing collaboration with Homeland Security Investigations, the Bartow County Sheriff's Office, the Georgia Bureau of Investigation, and other partners on an active labor trafficking investigation involving Wellmade Industries.

The plaintiffs seek to represent all Chinese nationals who worked at the Cartersville facility since June 2020 and are pursuing damages including unpaid wages, punitive damages, and attorney fees. The complaint alleges violations of the Trafficking Victims Protection Act, Fair Labor Standards Act, and Georgia’s Racketeer Influenced and Corrupt Organizations Act.

The case is Liu et al. v. Wellmade Industries Mfr. NA LLC et al., Case No. 4:25-cv-00134, currently pending in the U.S. District Court for the Northern District of Georgia.