Winnipeg Free Press - PRINT EDITION

Terminal's builder faces suit

Structural steel company sues EllisDon for $7.3 million

  • Print

THE firm that oversaw the construction of the new Richardson International Airport terminal finds itself caught in another legal dispute over the project.

EllisDon Corp. is being sued for almost $7.3 million by a Toronto-area firm that put up the structural steel.

Azimuth Three Enterprises, of Brampton, Ont., alleges contract breaches by EllisDon on the troubled project resulted in losses, damages and loss of profit totalling $7,264,700.

The allegations have not been proven in court. A statement of defence has not been filed, and court hearings on the dispute have not been set.

The new airport terminal was designed by internationally renowned architect Pelli Clarke and opened in late October 2011 -- almost two years behind schedule.

The $585-million terminal was beset by several delays associated with changes in design plans and remedial work to address unusual groundwater issues that compromised worker safety.

The courts upheld a dispute-resolution process that found the Winnipeg Airports Authority (WAA) had to pay EllisDon several million dollars for the groundwater work. Later, EllisDon sued the WAA for an additional $10.8 million because of design changes to the new terminal.

Azimuth won the bid to build and erect the structural steel frame for the new terminal for a price of $22 million.

The Azimuth documents state its lawsuit does not involve delays and additional costs as a result of the groundwater issue, explaining those costs will be determined through the contract's dispute-resolution process.

However, Azimuth said changes made to the project after it signed a contract with EllisDon and other delays pushed back the completion of its work on the terminal by more than 16 months.

In documents filed in Court of Queen's Bench, Azimuth said the delays and design changes resulted in the firm incurring, "additional costs, damages and expenses including... additional labour and supervisory costs, premium, shift and overtime costs, extended site overhead costs, storage costs, equipment, supplies and material costs, and loss of profits."

Azimuth alleges design changes it was presented with differed substantially from the changes it agreed to in discussions with EllisDon.

Azimuth alleges EllisDon breached its contract by failing to provide "clear, logical, unambiguous, co-ordinated and complete architectural and structural design drawings... timely solutions to technical design issues" and reasonable and timely access to the site.

In addition to the Azimuth suit, EllisDon has been sued for more than $1.1 million by three others subcontractors on the airport terminal project.

aldo.santin@freepress.mb.ca

Republished from the Winnipeg Free Press print edition April 24, 2013 B5

Fact Check

Fact Check

Have you found an error, or know of something we’ve missed in one of our stories?
Please use the form below and let us know.

* Required
  • Please post the headline of the story or the title of the video with the error.

  • Please post exactly what was wrong with the story.

  • Please indicate your source for the correct information.

  • Yes

    No

  • This will only be used to contact you if we have a question about your submission, it will not be used to identify you or be published.

  • Cancel

Having problems with the form?

Contact Us Directly
  • Print

Comments are not accepted on this story because they might prejudice a case before the courts.

letters

Make text: Larger | Smaller

LATEST VIDEO

Faron Hall honoured by Mayor Sam Katz - May 6, 2009

View more like this

Photo Store Gallery

  • Young goslings jostle for position to take a drink from a puddle in Brookside Cemetery Thursday morning- Day 23– June 14, 2012   (JOE BRYKSA / WINNIPEG FREE PRESS)
  • Bright sunflowers lift their heads toward the south east skies in a  large sunflower field on Hwy 206 and #1 Thursday Standup photo. July 31,  2012 (Ruth Bonneville/Winnipeg Free Press)

View More Gallery Photos

Poll

Do you agree with the mandatory helmet law for cyclists under 18?

View Results

Ads by Google