Construction firm sues Macon-Bibb County after $2.2M contract was canceled. Here’s why.
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A contracting company alleges Macon-Bibb County violated a contract it signed with the company worth nearly $2.2 million, according to a lawsuit filed in Bibb County earlier this month.
The complaint was filed by Precision 2000 Inc., the construction company, on April 9. In the lawsuit, the company alleged Macon-Bibb county illegally withdrew from the previously agreed contract for upgrade work at the Middle Georgia Regional Airport and failed to pay the company for costs incurred when the company started its work.
The contract was for the first phase of improvements, which would’ve extended the runway and improve the wall structure of the airport.
The lawsuit says the contract was agreed on in November 2022 and Precision 2000 started work at the airport. But in June 2023, the company received a letter from the county terminating the agreement.
Precision 2000 alleged in the lawsuit that it “incurred substantial damages” when the county canceled the contract. In the same month, the company demanded that Macon-Bibb County pay for the costs incurred.
Precision 2000 accused Macon-Bibb County of violating the Georgia Prompt Payment Act, which requires payment to the contractors within 15 days of the agreement.
Precision 2000 is asking for financial relief determined by a jury at trial, plus interest, cost of collection and lawyer fees, according to the lawsuit.
Why Macon-Bibb canceled the contract
Bibb County officials said they wouldn’t speak on and open case when contacted for this story.
“We do not comment on current litigation, but we will vigorously defend the county’s interests,” said Chris Floore, chief communications officer of Macon-Bibb County.
But the letter that county officials sent to the construction company was included in the lawsuit, showing Macon-Bibb’s intent to pull out of the deal. The county’s letter to Precision 2000 mentioned that they discovered “unexpected conditions on the property which require a significant alteration in the scope of work for the project.”
The letter said the unexpected conditions caused a “lengthy and unreasonable delay such that Precision has not initiated work on the property” during the contract. As a result, the contract was terminated.
Carlos Sanchez, president of Precision 2000, responded to the termination in an e-mail saying the unexpected conditions mentioned were brought to the county’s attention in January 2023. Sanchez’s email also said the conditions were out of the company’s control, which the county acknowledged in the letter.
The email also mentions that the company received “evasive responses and lack of substantive information” from the county about changes to the project.
By receiving the letter days after concern was raised about the issues, Sanchez said in his email that it “strongly implied that both the designer and the county were fully aware of these changes and deliberately chose not to notify us.”
Sanchez said in his email that the county’s decision to pull out of the contract “lacks legal basis.”
Sanchez said the company lost $635,132 due to the termination. The loss included four months of project management, four months of pay for a superintendent and a field engineer, survey and site analysis, safety management expenses, equipment preparation, estimate preparation, bonds, and home office overhead. That loss also included the loss of expected profit “as part of the resolution process.”
A lawsuit only represents one side of a legal argument. Attorneys for the county haven’t yet filed a legal reply, and no actions have been taken in court regarding the accusations.
This story was originally published April 22, 2024 at 2:39 PM.
