Rise in Construction Defects Leads to Litigation, Costly Settlements

November 25, 2013

The November issue of Construction Headline News highlights the ongoing multi-million dollar battles between owners and contractors over construction defect claims. Civil, infrastructure, and building projects are seeing the most defect litigation, some of them many years after project completion. While some lawsuits are just getting started, others are being averted through costly settlement agreements at the expense of the contractors. Read on to discover which projects are experiencing defects, the myriad of issues involved, and how owners are fighting back through litigation to combat rising repair costs.

A $154 million cost overrun lawsuit is winding its way through the courts as Wayne County seeks to recover costs from the contractor on the unfinished Detroit jailhouse.  More construction defects are making the news as substandard construction on the $1 billion San Diego 405 Freeway has led to delays due to faulty retaining walls. Also, the consumer advocates allege that the controversial Keystone XL Pipeline has more than 100 defects stemming from shoddy construction that can lead to unsafe operating conditions.  Anchorage is in the news again as municipal officials try to explain almost $5 million in cost overruns on a $5.8 million power plant project.

Comments are closed.