Gordon & Rees San Francisco partner Bill Peters, with assistance from associate Dan Blomgren, successfully defended Sundt Construction, one of the 100 largest contractors in the United States, in an arbitration brought by subcontractor California Drywall regarding a veterinary medical facility Sundt built on the campus of UC Davis.
Although the deadline set forth in the original subcontracts had passed, Sundt completed construction and met the extended deadline in their final agreement. The subcontractor claimed almost $200,000 in costs due to the extension of the project beyond the originally anticipated completion date.
In a one-day arbitration, Gordon & Rees established that the subcontractor was bound to the provisions in the prime contract that allowed UC Davis to extend completion to the date set forth in the prime agreement even if the contractor had a plan to finish ahead of schedule. The arbitrator agreed that the subcontractor was bound by this provision and dismissed the action against Sundt.