State sued by contractor over funds not paid out under hazard mitigation program

By Kyle Barnett | Mar 1, 2012

NEW ORLEANS – The State of Louisiana is being sued by a Michigan-based contractor for grants allegedly not paid out under a government run redevelopment program.

MPD Contractors, LLC filed suit on Feb. 27 in Orleans Parish Civil District Court against The State of Louisiana, the Shaw Group and the entities for whom they did unpaid work.

The plaintiff claims it was contracted to clean up hazards following a major disaster declaration under the Hazard Mitigation Grant Program that provides grants to state and local governments to reduce the loss of life and property due to natural disasters. The plaintiff asserts claims processed through the Shaw Group were handled ineptly and unnecessarily delayed, which resulted in MPD not getting paid. MPD claims numerous projects they were working on were abandoned due to non-payment.

An unspecified amount in damages is sought for work already completed under the program.

MPD Contractors, LLC is being represented by Edwin M. Shorty of New Orleans-based Shorty, Dooley & Hall.

The case has been assigned to Division G Judge Robin M. Giarusso.

Case number 2012-01736

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