Contractors seek claims from Disney project

August 11, 2010

The filing of claims by contractors after the completion of a major project is not unexpected, particularly when the building is as complex as the Walt Disney Concert Hall in Los Angeles, designed by Frank Gehry (BD&C June 2004, p. 35).

In an action filed in Los Angeles County Superior Court, M.A. Mortenson Co., the project's Minneapolis-based general contractor, claims that it and more than 20 subcontractors are owed a total of $43.3 million by developer Walt Disney Concert Hall Inc. for delays and difficulties arising during construction that resulted in cost escalations.

The suit claims that Disney made unreasonable demands for changes and extra work after construction began. Disney countersued, claiming that Mortenson was aware of the complexity of the project when it agreed to complete the work in slightly more than three years. Paul Campbell, senior VP of Mortenson, said progress is being made toward resolving the issues, and that Disney is continuing to negotiate individually with various subcontractors.

         
 

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