Facts

Plaintiff G. Voskanian Construction Inc. (Voskanian) was a general contractor. In June 2006, defendant Alhambra Unified School District (AUSD) contracted with Voskanian for general contracting services related to the Moor Field Program Relocation (first project). AUSD agreed to pay Voskanian $989,000 for the project. While the first project was under way, it came to AUSD's attention that the original architect had not included fire alarm work in the initial plans and made many other mistakes. AUSD solicited bids for the fire alarm work (second project). Bidders were invited to a mandatory walk-through, for the purpose of inspecting the site, and then given the relevant plans. The job was ultimately awarded to Voskanian for $55,000. However, after Voskanian took on the second project, it was discovered that the plans did not account for the fact that several of the portable classrooms were divided into multiple classrooms, which required additional alarms. All proposed change orders, which were necessary because of the errors in the plans, were approved by the district board. Ultimately, Voskanian sued AUSD for breach of both contracts. AUSD filed a cross-complaint for breach of contract.

PLAINTIFF'S CONTENTIONS:
Voskanian claimed that the walk-through, held for the bidders on the second project, was wholly inadequate because it took place during school hours and included merely peeking into two of the 16 portable classrooms. Voskanian also alleged that the plans they received for both projects were inaccurate and failed to include significant portions of the required work. Specifically, Voskanian alleged, the second project was not identified as a "design build." A design build, Voskanian explained, normally called for the contractor to hire the architect directly and generally exceeded $2 million. In this case, AUSD had already secured an architect. Throughout both projects, Voskanian claimed, AUSD repeatedly emphasized the need for expediency and assured it that change orders would be paid for. However, during the second project, Voskanian claimed, AUSD's architect took months to respond to submissions and change order requests. This caused severe delays, Voskanian claimed, because the project itself was initially only meant to take 45 days. Voskanian claimed that, on the first project, the school board approved change orders for the wrong amounts. When the work was completed, Voskanian claimed, AUSD failed to pay $106,225 worth of unpaid retention funds and $100,142 for extra work for the first project. It also claimed that, regarding the second project, AUSD failed to pay the $55,000 contract price and $39,777 for extra work.

DEFENDANT'S CONTENTIONS:
AUSD claimed that Voskanian caused the delays on the first project. AUSD alleged that, as a result of Voskanian's failure to timely complete the first project, provide contract documentation, and correct defects, AUSD was entitled to penalties.

Damages

Voskanian sought to recover $337,724, plus interest and penalties.

Result

The jury found in favor of Voskanian, ordering AUSD to pay $301,191 for the first project and $118,566 for the second project. The jury also found in favor of Voskanian on AUSD's cross-complaint. Costs in the amount of $91,031 and attorney fees of $209,795 are still being sought by Voskanian.

Other Information

FILING DATE: Sept. 28, 2007.