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Construction case was sent to referee for a report

Cleveland Construction filed a complaint against Ellis-Don Construction, Inc.; HKS, Inc.; Federal Insurance Company; and The Travelers Casualty and Surety Company (formerly known as Aetna Casualty and Surety Company) on Nov. 30, 2004.
The claims arose out of work the plaintiff performed on the University of North Carolina Women’s & Children’s Hospital Project. Defendant Ellis-Don was a prime contractor on the project, and the plaintiff was one of its subcontractors. The plaintiff made a claim for its subcontract balance, extras, delays and disruptions.
The case was called for trial before Judge Hobgood in March 2008. However, Judge Hobgood ordered the case to be heard before a referee due to the length and complexity of the case.
The parties proposed Andy Penry as the referee, and the court appointed Penry as referee in a May 15, 2008, order.
The referee conducted 16 days of hearings in October and November 2008, during which sworn testimony and documentary evidence were presented. The parties filed proposed findings of fact and conclusions of law in February 2009.
The referee issued a 36-page report based on these hearings on July 14, 2009.
On Dec. 1, 2009, Judge Hobgood entered judgment in the plaintiff’s favor in the amount of $2,220,902, plus costs.
The judgment was entered against Ellis-Don Construction, Federal Insurance Company and Travelers, jointly and severally. The case is now on appeal.

Verdict Report

Type of action: Construction lawsuit – Breach of contract – Payment bond – Delay and disruption claims
Injuries alleged: N/A
Case name: Cleveland Construction v. Ellis-Don Construction, et al.
Case number: 04 CVS 16449
Court: Wake County Superior Court
Judge: Hon. Robert H. Hobgood referred the case to Andy Penry to serve as a referee for the hearing
Verdict or settlement: Verdict
Date: Dec. 1, 2009
Amount: $2,220,902, plus $20,035 in costs
Sureties: Federal Insurance Company and Travelers Casualty and Surety Company
Expert: Anthony Caletka, delays and disruption claims
Plaintiff’s attorneys: Seth Price of Chamberlain, Hrdlicka, White, Williams & Martin (Atlanta) and Henry W. Jones Jr. and Brian S. Edlin of Jordan Price Wall Gray Jones & Carlton (Raleigh)
Editor’s note: The information in Lawyers Weekly’s verdicts and settlements reports was submitted by the counsel for the prevailing party and represents the attorney’s characterization of the case.


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