Created : September 07, 2013 at 05:25 AM
July 23, 2013
Status:
Open Agenda
Approve the Settlement Agreement between The School Board of Broward County, Florida and West Construction, Inc., and approve the Final Acceptance of the New Ball Fields project at Hallandale Elementary School, Project No: P.000753, (f.k.a. 0593-99-02).
This Agreement is the result of efforts to resolve differences and disputes between West Construction, Inc. ("West") and The School Board of Broward County, Florida (the "SBBC") arising out of an Agreement, dated December 15, 2009 ("Contract"), for Hallandale Elementary School, New Ball Fields P.000753, (f.k.a. 0593-99-02) (hereinafter the "Project"). During construction of the Project, Board-approved changes to the Contract resulted in increases to both the Project scope and duration.
West sought an amount of $255,213 for work performed and delays it alleged were caused by active owner interference. Such claim was rejected, in part, by reliance upon the no damages for delay provision in the Agreement, which bars monetary delay claims for active interference.
On or about May 8, 2012, West filed a Complaint against the SBBC styled West Construction, Inc. vs. The School Board of Broward County, Florida, in Broward County Case Number 12-013256 (14), alleging entitlement to damages totaling $255,213.
Through settlement negotiations, West has agreed to accept compensation from the SBBC with a total value of $73,776.54 in full and complete settlement of its lawsuit (the "Settlement Sum"). The Settlement Sum is comprised solely of the remaining contract balance ($49,945.69) plus an amount for additional work satisfactorily performed ($23,830.85). The Settlement Sum does not contain any delay damages, attorney's fees or interest.
This item resolves and settles the litigation between the SBBC and West, and authorizes Final Acceptance of the Project, but does not release, waive, compromise or discharge any liability or responsibility of the engineer of record for the Project.
District staff and the General Counsel's Office recommend approval of the Settlement Agreement as a fair, reasonable and cost-effective resolution of the dispute between the parties. In conjunction therewith, staff also recommends approval of the Final Acceptance of the Project.
The financial impact is $73,776.54 which will be offset by the project's remaining balance of $62,192 and $11,585 will come from the Legal and Contingency account.
Requested Action
Approve the Settlement Agreement between The School Board of Broward County, Florida, and West Construction, Inc., and approve the Final Acceptance of the New Ball Fields project at Hallandale Elementary School, Project No: P.000753, (f.k.a. 0593-99-02).
Summary
This Agreement is the result of efforts to resolve differences and disputes between West Construction, Inc. ("West") and The School Board of Broward County, Florida (the "SBBC") arising out of an Agreement, dated December 15, 2009 ("Contract"), for Hallandale Elementary School, New Ball Fields P.000753, (f.k.a. 0593-99-02) (hereinafter the "Project"). During construction of the Project, Board-approved changes to the Contract resulted in increases to both the Project scope and duration.
West sought an amount of $255,213 for work performed and delays it alleged were caused by active owner interference. Such claim was rejected, in part, by reliance upon the no damages for delay provision in the Agreement, which bars monetary delay claims for active interference.
On or about May 8, 2012, West filed a Complaint against the SBBC styled West Construction, Inc. vs. The School Board of Broward County, Florida, in Broward County Case Number 12-013256 (14), alleging entitlement to damages totaling $255,213.
Through settlement negotiations, West has agreed to accept compensation from the SBBC with a total value of $73,776.54 in full and complete settlement of its lawsuit (the "Settlement Sum"). The Settlement Sum is comprised solely of the remaining contract balance ($49,945.69) plus an amount for additional work satisfactorily performed ($23,830.85). The Settlement Sum does not contain any delay damages, attorney's fees or interest.
This item resolves and settles the litigation between the SBBC and West, and authorizes Final Acceptance of the Project, but does not release, waive, compromise or discharge any liability or responsibility of the engineer of record for the Project.
District staff and the General Counsel's Office recommend approval of the Settlement Agreement as a fair, reasonable and cost-effective resolution of the dispute between the parties. In conjunction therewith, staff also recommends approval of the Final Acceptance of the Project.
School Board Goals
| Goal 2: Continuous Improvement |
Financial Impact
The financial impact is $73,776.54 which will be offset by the project's remaining balance of $62,192 and $11,585 will come from the Legal and Contingency account.
Source of Additional Information
Thomas C. Cooney, Esq. 754-321-2050 J. Paul Carland, II, Esq. 754-321-2050
Associated File Attachments
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Settlement Agreement (Files) | |
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Certificate of Occupancy (OEF 110B) (Files) | |
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Certificate of Final Inspection (OEF 209) (Files) | |
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ExecutedCompleteCopy (Files) |