The city and the builder of the $30-million expansion to the Anaheim Convention Center have agreed to negotiate a settlement over the project's disputed completion date.
The city of Anaheim and Taylor Woodrow Construction Co. on Tuesday agreed to a six-month negotiation to settle the dispute in hopes of avoiding further legal action. The City Council unanimously passed the agreement.
"We both agreed to a standstill agreement as long as we're still progressing," said City Atty. Jack L. White. "It saves the city taxpayers the potential cost and time of defending that litigation."
The construction company filed an $8.7-million claim against Anaheim in December, alleging that the city was responsible for construction delays because additional work was required.
At issue are late fees, which amount to $5,000 per day. The claim says the city ordered further construction that was not in the original contract and then attempted to charge Taylor Woodrow Construction for 433 extra days of work, or a fine of more than $2 million.
The company began building Exhibit Hall D in May, 1988, and was scheduled to finish the work in February, 1990. However, the city said the job was not completed until July, 1990.