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Allen Young, Sacramento Business Journal <email address not displayed>
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Allen Young, Sacramento Business Journal wrote on the message board: > Colusa Casino wins millions in settlement with AECOM subsidiary - > > A construction company owned by global engineering firm AECOM has paid > $20 million to the owners of the Colusa Casino Resort in a settlement > that concludes a five-year lawsuit over claims of shoddy work. The > tribe expects to receive the funds Wednesday. > > The lawsuit between the Cachil Dehe Band of Wintun Indians and Hunt > Construction Group went to trial in Sacramento County Superior Court > in January, said attorney Dan Steinberg of Trainor Fairbrook, the > Sacramento firm representing the tribe. > > Hunt Construction, a Scottsdale, Ariz.-based firm owned by AECOM; > Atlantic City, N.J.-based SOSH Architects; and their subcontractors > agreed to the settlement after two-and-a-half months. It covered a > range of construction elements for two restaurants and a hotel. > > “The tribe wanted the right thing to happen. They wanted Hunt to > step up and take responsibility, and Hunt finally did,” Steinberg > said. > > Hunt's attorney, James Murphy of Chapman Glucksman Dean Roeb & Barger, > could not be reached for comment. > > The tribe hired Hunt and Sosh Architects in 2004 to build a hotel for > the casino, a warehouse and two restaurants. Construction was finished > in 2005. Five years later the windows began to leak, according to the > tribe's lawsuit. Hunt Construction denied responsibility, suggesting > the window problem was a warranty issue and not a defect, said > Steinberg, an attorney with the construction department of Trainor > Fairbrook. > > Further investigation revealed a slew of safety and structural > problems in both the hotel and the two restaurants, said Steinberg. > The hotel walls and roof leaked. The fire sprinklers were improperly > installed, and other construction elements failed to meet building > code. > > The tribe shut down the hotel in 2010, and brought in Sacramento-based > Poelman Construction Ltd. the next year to make repairs. The property > re-opened in 2012. > > The tribe filed suit against Hunt and SOSH in 2011 and entered > mediation with the construction companies the next year. Over the next > four years of mediation, Hunt never admitted liability and declined to > make a settlement offer, Steinberg said. > > Hunt filed its own lawsuit, claiming that its subcontractors were > responsible for the defects. Some of those subcontractors settled with > Hunt, some settled separately with the tribe, and still others were > included in the final settlement. > > SOSH settled with the tribe but remained in the lawsuit for > reimbursement from Hunt, which the company found responsible for many > of the defects. > > The tribe made a formal demand in 2015 for $22.5 million, asking to > either settle or go to trial. The case went to trial in January. The > parties agreed to the $20 million settlement in late March. > > The tribe refused to sign a confidentiality agreement as a term of the > settlement because it wanted to make the details public, said > Steinberg. > > “It was important to the tribe to have the freedom to discuss what > happened, to tell how Hunt refused to take responsibility for the > majority of the litigation,” he said. > > http://www.bizjournals.com/sacramento/news/2016/06/22/colusa-casino-settles-for-20-million-with-firm.html
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