United States Ex Rel. American Civil Construction, LLC v. Hirani Engineering & Land Surveying, P.C.

263 F. Supp. 3d 99
CourtDistrict Court, District of Columbia
DecidedJune 27, 2017
DocketCivil Action No. 2014-0745
StatusPublished
Cited by7 cases

This text of 263 F. Supp. 3d 99 (United States Ex Rel. American Civil Construction, LLC v. Hirani Engineering & Land Surveying, P.C.) is published on Counsel Stack Legal Research, covering District Court, District of Columbia primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
United States Ex Rel. American Civil Construction, LLC v. Hirani Engineering & Land Surveying, P.C., 263 F. Supp. 3d 99 (D.D.C. 2017).

Opinion

MEMORANDUM OPINION

Amit P. Mehta, United States District Judge

Plaintiff American Civil Construction, LLC, has, filed suit against Defendants Hirani Engineering & Land Surveying, PC (“Hirani”), and Colonial Surety Company (“Colonial”) in connection with its work as a subcontractor on a federal government project. Plaintiff brings a state law claim against Hirani for breach of contract and, separately, seeks relief in the name of the United States against Colonial under the terms of the Miller Act, 40 U.S.C. § 3133, for Hirani’s failure to pay Plaintiff. Plaintiff alleges that it is entitled to recover more than $2 million in damages. Colonial has filed multiple counterclaims in response. Now before the court are Defendants’ motions for summary judgment and to strike Plaintiffs jury demand.

After thorough review of the record, the court denies Defendants’ Motion for Summary Judgment but grants Defendants’ Motion to Strike Plaintiffs Jury Demand.

I. BACKGROUND

A. The Prime Contract and Subcontract

On or about September 16, 2010, Defendant Hirani Engineering & Land Surveying, PC (“Hirani”), entered into Contract No. W912DR-10-C-0093 (the “Prime Contract”) with the United States of America, through the United States Army Corps of Engineers (“the USACE”), to construct the “Washington D.C. Local Flood Protection Project, 17th Street Closure Structure, Washington D.C.” (“the Project”). See Defs.’ Mot. for Summ. J., ECF No. 44 [hereinafter Defs.’ Mot. for Summ. J.], Defs.’ Stmt, of Material Facts, ECF No. 44-1 [hereinafter Defs.’ Stmt, of Facts], ¶ 1 (citing PL’s Second Am. Compl., ECF No. 26 [hereinafter Second Am. Compl.], ¶ 5). To fulfill its obligations under tthe Prime Contract, Hirani entered into a written contract on April 4, 2011, (“the Subcontract”) with Plaintiff American Civil Construction, LLC, . under which Plaintiff would perform specified work (“the Work”) on the Project. See Defs.’ Mot. for Summ. J., Attach. .3, ECF No. 44-3 [hereinafter Moldovan Deck], at 7-17 (Ex. B) [hereinafter Subcontract]. 1 Consistent with the requirements of the Miller Act, Hirani obtained a payment bond from Defendant Colonial Surety Company (“Colonial”) to secure payment to Plaintiff under the Subcontract. See 40 U.S.C. § 3131(b)(2); Moldovan Decl. at 4-6 (Ex. A).

The Subcontract outlines each party’s obligations under the agreement, including, but not limited to, a description of the Work; when the Work should begin; and the amount owed Plaintiff for completing the Work. The first clause of the Subcontract states that Plaintiff

shall provide the entire scope of work to construct and manage the 17th Street closure structure except for the Project Manager and the mise, metal structures/panels as required by Hirani under the base bid to the USACE and related work required (hereinafter the “Work”) for the Local Flood Protection Project @ 17th Street Closure Structure *102 (hereinafter the “Project”) located at 17th Street (hereinafter the “Premises”).

Subcontract at 1 (Art. I, § 1.1). Schedules A and B of the Subcontract define the Work more specifically. See id. (Art. I, §§ 1.2, 1.3). For example, Schedule B states that Plaintiff must “[pjrovide project supervision (Superintendent, Site Safety Officer, Traffic Control Officer) except for a project manager to act on behalf of [Hirani]”; “[pjrovide an o'n-site field office as per the specifications for the USACE”; and “remove, store[,] and reinstall pedestrian light poles throughout construction.” Id. at 9 (Sch. B, Pts. 2, 6, 16). Hirani retained the right to change, add, or eliminate portions of the Work “at any time whatsoever, whether the Work or any part thereof- shall or shall not have been completed,” by written order submitted to Plaintiff, and Plaintiff agreed not to seek “extra or additional compensation on account of any such work, unless same [sic] shall have been done pursuant to a written order signed by” a designated Hirani representative. Id. at 2 (Art. IV, § 4.1). The Subcontract also specifies that:

The scheduling of all construction operations at the Project, including the Schedule, shall be as mutually agreed with [Hirani], and [Plaintiff] shall, if requested, furnish all scheduling infonnation in such form and detail as required by [Hirani], to the satisfaction [Hirani] [sic], and [Plaintiff] shall furnish such'information within seven (7) days of request. [Plaintiff] shall also update and/or refuse such information as requested by [Hira-ni] at any time, either prior to or during the performance of its Work.

Id. at 1-2 (Art. II, § 2.2). Additionally, of relevance here, the Subcontract requires Plaintiff, at Plaintiffs own expense,' to clean up the worksite. Plaintiff agreed to

[o]n a daily basis or less frequently, and at [Plaintiffs] own cost and expense, (1) keep the area of the premises in which the Work is being performed free at all times from all waste materials, packaging materials[,] and other rubbish accumulated in connection with the execution of the Work by collecting and depositing daily said material and rubbish into dumpsters provided on grade by [Hira-ni], (2) clean and remove from its own work and from all contiguous work of others any soiling, staining, mortar, plaster, concrete or dirt caused by the execution of the Work and make good all defects resulting therefrom, (3)-at the completion of its work in each area, perform such cleaning as may be required to leave the area “broom clean” and (4) upon the completion of the Work, remove all of its tools, equipment, scaffolds,- shanties, trailers, and surplus materials.

Id. at 3 (Art. VII, § 7.1).

Hirani and Plaintiffs agreement also set out explicit terms for payment and what to do in the event of a dispute concerning the agreement. The Subcontract states Plaintiff will bé páid a fixed sum of $2,846,600.00 for “all labor services, materials, equipment or other items acquired, performed, furnished or used with respect to the Work,” which includes all applicable federal, state, and local taxes. Id. at 2 (Art. Ill, § 3.1). Additionally, Plaintiff agreed not to stop or delay performance of the Work or delivery of labor or materials simply because a “dispute, controversy[,] or question” arose in the interpretation of the Subcontract, but rather, to continue working “pending the determination of such dispute or controversy.” Id. at 6 (Art. XIV, § 14.1).

Lastly, the parties contemplated the grounds for contract termination. The Subcontract calls for a different outcome when the agreement is terminated for default than when it is terminated for convenience.

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263 F. Supp. 3d 99, Counsel Stack Legal Research, https://law.counselstack.com/opinion/united-states-ex-rel-american-civil-construction-llc-v-hirani-dcd-2017.