Subcontractor files $1.6 million suit against contractor for project delays, other problems

By Holland Phillips | Nov 4, 2013

NEW ORLEANS – A subcontracting company is suing its contractor for failing to pay equitable adjustments totaling over $1 million in connection with an Army Corps of Engineers flood protection project.

Grand Isle Shipyard Inc. filed suit against Shaw Environmental & Infrastructure Inc. in the Orleans Parish Civil District Court.

The plaintiff claims that it experienced difficulties related to a contract for work with the U.S. Army Corp of Engineers on a flood protection project subcontracted to the plaintiff by Shaw Environmental. Grand Isle Shipyard lists its issues with Shaw as causing significant delays, change of orders, differing site conditions, failure to pay the plaintiff in response to its requests for equitable adjustments that, when consolidated, total approximately $1,603,150.13. Grand Isle Shipyard also claims it is entitled to a $150,000 incentive bonus for completing the project in 88 days instead of the allotted 118-day schedule.

The defendant is accused of breach of contract for failing to satisfy its obligations and failing to compensate the plaintiff for delays, change of orders, differing site conditions, requests for equitable adjustments and the incentive bonus.

In the face of several failed attempts at alternative resolution, the plaintiff seeks a judgment in its favor of $1,603,150.13 plus the $150,000.00 incentive bonus, legal interest, attorney’s costs and fees.

The plaintiff is represented by Kurt Blankenship of Metairie-based Blue Williams LLP.

The case has been assigned to Division L Judge Kern A. Reese.

Case no. 2013-07751.

More News

The Record Network