NEW ORLEANS – A surety company is suing a school board for expenses it allegedly incurred during the construction of an arts center.

The Hanover Insurance Co. filed a complaint in the U.S. District Court for the Eastern District of Louisiana against Jefferson Parish School Board alleging breach of contract.

According to the complaint, the defendant and Catco General Construction entered into an agreement for the construction of an arts center at Grace King High School and the plaintiff issued a performance bond and statutory payment. The plaintiff alleges that it incurred additional costs and expenses in the approximate amount of $890,270.46 for the performance of the work and remediation work under the takeover agreement for which defendant is liable.

The plaintiff holds Jefferson Parish School Board responsible because the defendant allegedly made payment to Catco after it was requested not to do so and without plaintiff's written concurrence, failed to place Catco in default and failed to take reasonable and adequate steps to protect the project.

The plaintiff requests a trial by jury and seeks judgment against defendant in the amount of $890,270.46, for all attorneys' fees, plus interest, costs and all other just and equitable relief. It is represented by Bruce H. Shreves, Jay H. Kern, Daniel J. Caruso, Douglass F. Wynne and Kaile L. Mercuri of Simon, Peragine, Smith & Redfearn LLP in New Orleans.

U.S. District Court for the Eastern District of Louisiana Case number 2:16-cv-12693

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