Walt Disney Concert Hall Multi-Million Dollar Construction Lawsuit Settles

20 August 2006

A complex lawsuit filed by contractors relating to the construction of the Walt Disney Concert Hall in Southern California for additional construction costs both direct and for impacts caused by delays, disruptions and inefficiencies has been settled, with one of the nation's leading general contractors, M.A. Mortenson Company and its subcontractors to receive $17.8 million. Attorneys for Mortenson, Jose L. Padilla, Jr., Esq. and Marion T. Hack, Esq., partners in the Los Angeles based law firm Gibbs, Giden, Locher & Turner LLP, believed the settlement to have been in the best interest of all the parties. It is estimated that if this matter would have gone to trial, combined litigation costs would have exceeded $10 million. "It was remarkable that we were able to settle this complex lawsuit without taking as much as a single substantive deposition and with minimal written discovery," said Mr. Padilla. "With the litigation behind us, we can now focus our attention to the marvel of this landmark Concert Hall, which is a proud accomplishment for all involved."

M. A. Mortenson Company, a Minneapolis based firm and one of the largest general contractors in the United States, filed a breach of contract and mechanic's lien foreclosure action against Walt Disney Concert Hall Inc. in November of 2003 alleging damages due to delays and disruptions resulting from incomplete plans and specifications and direct costs due to change order work. Several of Mortenson's subcontractors including The Herrick Corporation, ACCO Engineered Systems, Martin Bros./Marcowall Inc. also filed lien foreclosure actions alleging that their portion of the work was impacted due to inadequate design documents. Walt Disney Concert Hall Inc. counterclaimed against Mortenson for breach of contract alleging that Mortenson's pre-construction services were inadequate.

Gibbs, Giden, Locher & Turner LLP has been recognized by Chambers USA as the "top construction law firm headquartered in Southern California." Chambers USA reported: "This team of attorneys possesses a wide range of expertise and the ability to understand business decisions as well as legal ones... and is known for its skill in resolving disputes quickly." The firm is recognized as an established leader in the construction industry with a "high-work ethic"; and it is a "responsive, client-oriented" firm accomplishing "great results."

Founded in 1978, Gibbs, Giden, Locher & Turner LLP provides full legal service to construction and business clients, including related areas of business and commercial law; labor and employment law; real property transactions; environmental law; title insurance; suretyship; property, casualty and liability insurance; and common interest developments. From offices in Los Angeles and Las Vegas, the firm represents clients involved in transactions and litigation throughout the United States.

Source: prnewswire

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