Centex-Rooney Sues subcontractor J. Kirlin (HVAC Installation)

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Courthouse builder sues subcontractor

August 5, 1998

By Alan Barton

of the News staff

STUART - As County officials near a multimillion-dollar settlement

over the " sick " courthouse complex, the buildings' contractor wants to shift

blame to the company it paid to install the ventilation ducts.

Centex-Rooney, the company County paid to build a courthouse complex

that was later found to be sickening employees with toxic mold, filed a

lawsuit Tuesday asking a judge to place blame on subcontractor J.

Kirlin.

County attorneys are still working with Fort Lauderdale-based Centex-Rooney

on a deal to reimburse the county about $20 million for its troubles and

costs while the courthouse was cleaned, County Attorney Oldehoff has

said. The settlement would still fall short of fully compensating the county

for the $28 million spent to clean and rebuild the courthouse complex, and

it's also about $2.2 million less than what officials had sought.

If comissioners approve a settlement, Centex-Rooney is hoping its new

lawsuit will shift ultimate responsibility to Kirlin, which put in air,

heating and ventilation systems.

" You could say this suit reassigns responsibility, " said Jaffe, the

Washington attorney for the contractor. But Jaffe added that it is not

directly a result of the settlement talks with the county.

Shane , the chief executive officer of Kirlin, said from the

company's headquarters in land that he was not aware of the problems

with the courthouse. He referred questions to the firm's Fort Lauderdale

office, where a senior projects manager said he hadn't heard of the

County courthouse.

The courthouse and constitutional office buildings on East Ocean Boulevard,

which opened in 1989, were evacuated three years later when county officials

found two forms of toxic mold that employees said made them sick. The $12

million project doubled in cost after the county found the toxic mold more

widespread than first thought. The two buildings were gutted, rebuilt and

reopened in 1996.

The county sued Centex-Rooney, and in April 1997 a jury awarded the county

$11.5 million. A judge then adjusted the verdict to $14.2 million and added

$3.1 million in attorneys' fees. Interest has increased the award to more

than $20 million.

In addition, several contractors that worked on the courthouse agreed to pay

the county $2.9 million in settlements for their part in the faulty

construction project.

But the largest portion of the award, from Centex-Rooney, has been tied up

in an appeal that upheld the judgment in December. The contractor has taken

the case to the state Supreme Court, which has not indicated whether it will

hear it.

A settlement could end the case if Centex-Rooney agrees, probably for a

lower amount than the judgment plus interest. It could take years for the

county to get the money if an agreement is not reached, because the company

is still appealing the judge's ruling on attorneys' fees.

Centex-Rooney's lawsuit against the subcontractor also lists several

insurance companies as plaintiffs because they insured Kirlin for

construction glitches.