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Construction company faces breach of contract suit

On Behalf of | Feb 18, 2015 | Contract Disputes |

A construction company is under fire after allegedly failing to pay for work provided by a subcontractor, according to business news. Florida construction investors are aware of the dangers of asbestos and the need to test work sites for the toxic substance. The breach of contract suit details how the construction company failed to provide payment for these services. 

The suit, which was filed Dec. 2, 2014 in a court local to the asbestos testing company, alleges that the company was retained to test for asbestos at a demolition site beginning on Nov. 16, 2013. However, two invoices, submitted on Nov. 30 and on Jan. 1, 2014, which represented all labor and material associated with the job, have so far not been paid. So far the defendant has yet to respond in a public way, and no reason has so far been given for why the payments have not yet been submitted. 

The suit says the asbestos-testing company will be seeking the total sum of these invoices, equal to $43,881. They will also be asking for relevant interest. The case is currently being overseen by a business court, though no verdict has yet been reached. 

A contract is legally binding both in Florida and everywhere else business is conducted. As a result, a breach of contract suit can have dire repercussions for an organization so accused. In this case, when invoices have been ignored for so long, a case could be made for a legitimate breach. If this is found to be the case, the company could be held accountable not only for the initial cost of the work but also for the attending interest. 

Source: louisianarecord.com, “Asbestos-testing firm sues construction company for $40K breach of contract“, Andrey Burin, Feb. 13, 2015