Courtesy NTSB Crash in 2012 cost insurer $1 million. Courtesy NTSB The runway slope was improperly made by contractor, claims insurer for crashed jet. An insurer that reportedly paid out $1 million to the owner of a small private jet that crashed on a Georgia airport runway in 2012 is suing the airport and a contractor that reconstructed the runway. The insurer claims the runway was improperly built.To win its case, the insurer, Old Republic Insurance, will apparently have to disprove part or all of a National Transportation Safety Board investigation of the crash at Macon Downtown Airport. The investigation
Citing Virginia's false advertising law, a federal judge has ordered IBCS, the big individual surety operated by Edmund G. Scarborough, to return a $138,000 bond premium to a contractor. The judge last month granted the motion for summary judgment against Charlottesville-based IBCS, Scarborough and former IBCS employee Steven Golia.Plaintiff American Demolition and Nuclear Decommissioning filed a lawsuit in federal district court in Charlottesville in December 2011. ADND stated that it was led to believe by IBCS marketing materials and assurances from Scarborough and Golia that the bonds provided by IBCS would be good enough to be accepted under Federal Acquisition
Colorado moved against one of the defendant's in the Chubb surety bond fraud, revoking the insurance license of Steve Stokeling, a director of First Fidelity Asurety Co.The state's Division of Insurance says its investigation of Stokeling's activities is continuing.The order, technically known as an order of summary suspension and issued April 17th, cites fraudulent bonds allegedly provided by Stokeling for a courthouse renovation project in Montrose County, Colo., to TerraVision Consulting in 2012.The order also cites bonds issued for projects in Colorado that were not mentioned in the federal complaint by Chubb and did not involve use of forged or
Related Links: How Radisson Hotel Owners Stiffed the Subs in Wisconsin The subcontractors who worked on the Radisson hotel renovation project in Menomonee Falls, Wis., in 2010 and 2011 might soon receive their long-overdue payments. After the developer defaulted on its loans shortly after the hotel opened, the prospect of collecting anything was uncertain.The Menomonee Falls Village Board, which had loaned the developer millions, approved a settlement agreement on March 3 that would establish a $400,000 fund to pay subcontractors that have filed claims.The fate of the settlement was be discussed in Waukesha County circuit court on March 31 in
Palo Alto officially terminated Flintco Pacific Inc. from the Mitchell Park library project due to what a letter on the city's website calls “a lengthy history of Flintco’s failure to pursue and prosecute the work.”Originally intended to be completed in June 2012, the Mitchell Park library project is the largest expenditure out of a $78-million bond referendum passed in 2008. Palo Alto public works director Michael Sartor says the 56,000-sq-ft facility is expected to be finished in 2014, although that depends on whether the surety company will hire a new contractor or if the city will have to find a
City of Ottawa The Civic Centre in Ottawa includes Lansdowne Park, where corrosion issues have added to costs. City of Ottawa Elevation of Lansdowne Park in Canada shows box girders and seating tray. Corroded steel in the roof structure over the open-air seating tray and other parts of the stadium-arena reconstruction at Lansdowne Park in Ottawa has added an unexpected $17 million (C) to the cost. The debate over who foots the bill is changing the terms of the city's deal with its redevelopment partner, Ottawa Sports and Entertainment Group (OSEG).According to the original terms of the partnership, OSEG would
Photo by AP Wideworld The popularity of narcotic painkillers has a downside and cost that some states may not fully recognize. Related Links: Tightening Up the Rules for Hydrocodone, the Favorite PainKiller The Myth of Workers' Compensation Fraud Someone forgot to send Missouri the memo about the latest research on rising costs in workers' compensation.Concerned about fraudulent claims by workers, state Senator Mike Cunningham (R) late last year sponsored a bill that would have given employers access to a free online database of compensation claims. Employers would be able to screen workers for a history of fraud, without first securing
Legal proceedings are underway in a 2011 age discrimination lawsuit against International Brotherhood of Electrical Workers Local 117’s apprenticeship program,. The lawsuit has the potential to determine whether apprentices are considered employees and whether apprenticeship funds can be sued under the definitions of the Federal Age Discrimination in Employment Act of 1967.According to the complaint filed in the Northern District Court of Illinois’ Eastern Division, John Snowwhite, 44, alleges that he was given artificially low aptitude test scores during the selection process for apprenticeship with the IBEW Local 117 Joint Apprenticeship and Training Fund in order to conceal his alleged
Proposed legislation in the New Jersey Senate would restrict coverage of opioid drugs for workers’ compensation benefit recipients, requiring prescribing doctors to assess the patient’s medical history and potential addiction to opioids, create a detailed treatment plan, and inform the patient of potential risks of opioid drugs before the prescription can be covered under workers’ compensation plans.The New Jersey bill, S3003, was proposed on September 30 and is based on similar 2010 Washington state legislation that was the first of its kind. It similarly restricts the prescription of opioid drugs in personal injury protection coverage under private passenger automobile insurance
Environmental and geotechnical engineer Golder Associates says it didn’t need an approved change order for extra work on a Wichita, Ka., school project and is suing in state court in Wichita for $265,000. The school district says that it won’t pay.In a complaint filed with the District Court of Kansas last month, Golder Associates accuses Unified School District 259 of the Wichita Public Schools of breach of contract for refusing to pay for extra work on a project involving groundwater remediation of volatile organic compounds at the district’s Schools Service Center.The work was being performed under a consent order with
