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Stanford agrees to settle lawsuit

October 13, 2005

A four-year legal battle involving the city of Stanford and those involved with the stormwater project may be nearing an end.

City council members discussed the matter in an executive session at last week's meeting and agreed unanimously to pay the project's bonding company, Lyndon Properties, $425,000 on the condition they reimburse the city $25,000 to offset damages in exchange for dismissal of the lawsuit. City Council attorney Carol Hill and lawyer Tommy Glover of Lexington represented the city.

The legal battle began in 2001 when Maverick Environmental, who was hired by the city for the project, requested $110,000 for downtime after contractors walked away from a massive storm drainage project in November of 2000.

The company refused to finish the project after requesting money for days of work missed when the city did not have necessary easements to allow them to work and had not removed utility lines. The president of Maverick at the time, Jeff Jones, had threatened to terminate the contract and seek a court order relieving the bonding company from their guarantees on the project if the downtime was not addressed.

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The city, however, had claimed Maverick officials knew about the missing easements before taking on the project and failed to notify the city which utility lines needed to be removed.

City Council members say the request was never denied but the amount was questioned. After reviewing their books a final settlement amount was made by the city to Lyndon Properties with the conditions that the company turn over to the city drawings and dismiss the lawsuit.

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