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CPA suit vs 2 firms over defective airport project dropped
U.S. District Court for the NMI designated Judge J. Michael Seabright has dismissed the Commonwealth Ports Authority’s lawsuit against two companies that CPA sued over alleged defects on a project at the Saipan International Airport.
Seabright issued the order after CPA and the two companies—Chicago-based Boeing Co. and the Texas corporation Boeing Service Co.—reached a settlement that was approved by the Superior Court.
Seabright ordered that neither party shall apply for attorneys’ fees and costs against each other except as otherwise provided in the settlement agreement.
The judge said that Boeing’s lawsuit against Leo A Daly Co., which is also pending before the federal court, will continue.
CPA filed the lawsuit as a result of a series of problems related to an addition built to the Saipan International Airport.
Boeing had contracted with the CPA on the project. Boeing then subcontracted with others, including Leo A. Daly Co., which designed and managed the construction of the project.
CPA and Boeing, through their respective counsels, informed the court about their settlement last week.
With this settlement development, CPA counsel Matthew Gregory and Boeing Co. and Boeing Service Co. counsel Sean Frink asked the court to dismiss the lawsuit.
In a joint status report, Gregory and Frink stated that CPA and Boeing have resolved their dispute and that the lawsuit may be dismissed.
CPA sued Boeing for breach of contract. In the lawsuit, CPA asked the court to order the defendants to pay in excess of $1 million for damages, courts costs, and attorney’s fees.
The case arose from projects CPA pursued in the wake of the terrorists’ attacks on Sept. 11, 2011, in its desire to have the Saipan International Airport upgraded with additional terminal space and for other necessary security improvements.
