Facts

Plaintiff Cell-Crete Corp. specializes in poured and pumped concrete underlayments. In September 2003, it entered into a construction contract with defendant Weston Microtunneling Inc. Defendant was the general contractor for a Port of Los Angeles project at the Terminal Island Sewage Treatment Plant. Defendant had contracted to construct two tunnels. The tunnels would be built under Los Angeles Harbor and would hold sewage pipes. Plaintiff's job was to pump concrete grout after the pipes were installed.

In October, plaintiff began pumping material. Approximately 400 feet of concrete went into the interior of a sewage pipe and hardened. Workers had to chip out the concrete by hand. As a result, defendant refused to pay plaintiff for its services.

CONTENTIONS:
Plaintiff sued, claiming breach of contract. It also sued defendant city of Los Angeles, seeking to enjoin it from making payments to defendant Westcon for the project until plaintiff got its outlay. Further, plaintiff sued defendant Westcon's bonding agent, defendant U.S. Fire Insurance Co.

Defendant Westcon filed a cross-complaint for breach of contract against plaintiff. It alleged that plaintiff did not perform its job as promised. As a result of such negligence, defendant incurred substantial costs removing the concrete from the pipes.

However, plaintiff asserted that it honored all its contract promises. A concrete specialist opined that plaintiff pumped the proper amount of concrete under correct pressure pursuant to the industry standard. He attributed the error to defendant, which he claimed failed to properly construct the bulkheads and injection lines designed to contain the grout. Plaintiff claimed that defendant Westcon was 100 percent liable under the contract, which stipulated that defendant construct the space and lines. Further, defendant knew that the pipes contained the material, but waited to address the problem. As a result, the concrete hardened.

Settlement Discussions

The demand was for $100,000 pursuant to C.C.P. Section 998.

Damages

Plaintiff claimed $129,590.11. This was the figure defendant refused to pay. It was also the amount stipulated to in the contract. Defendant claimed $2.4 million, the amount spent in the removal of the concrete from the sewer pipe plus interest and attorney's fees, for a total of $3,040,000.

Result

The jury found that plaintiff honored its contractual responsibilities, but defendant did not. Defendant was ordered to pay plaintiff $129,590.11. During post-trial interviews, jurors opined that they had rejected defendant's assertion that plaintiff pumped too much concrete under too much pressure. They concluded that it was defendant's fault that the concrete went into the center of the sewer pipe. Per plaintiff's counsel, costs & fees of $274,000 were also awarded per cost bill.

Deliberation

2.75 hours

Poll

Complaint: 12-0 (Westcon's breach of contract). Cr

Length

13 days