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LAWSUITS NEWS & LEGAL INFORMATION

San Bruno Jail

San Francisco, CA: (Apr-23-08) AMEC, a London-based construction company, brought a lawsuit against the city of San Francisco, over costs associated with the building of a new jail in San Bruno. Court papers reveal that the company sued the city seeking $46 million, an amount it thought it was owed for the work after terminating its contract, declaring the project completed. Following that charge, the city countersued, stating that the construction company owed it $41 million, claiming shoddy work. City records indicate that the city contracted with a new company to finish the jail, which opened in 2006, allegedly almost three years behind schedule.

In a recent development, the two sides have reached a settlement agreement, in which AMEC agreed to pay the city $23.3 million to resolve allegations. City officials claimed that about $13 million of the proposed $23.3 million is money that has been spent on finishing the jail project. How the remaining $10 million would be spent by the city has not been announced. The settlement also dismisses AMEC's claim for additional money. [EXAMINER: CITY MAY LOCK UP SETTLEMENT]


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Published on Apr-24-08


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