2002-24823 Reso
RESOLUTION NO. 2002-24823
A RESOLUTION OF THE MAYOR AND THE CITY COMMISSION OF
THE CITY OF MIAMI BEACH, FLORIDA, APPROVING A SETTLEMENT
OF THE LA WSillT STYLED MET CONSTRUCTION V. CITY OF MIAMI
BEACH, CASE NO. 97-28833 CA 25, IN THE AMOUNT OF $35,000 ON THE
BREACH OF CONTRACT CLAIMS; RECEIVING $506,253.00 ON THE
CITY'S COUNTERCLAIM; AND FURTHER AUTHORIZING THE CITY
ATTORNEY'S OFFICE TO EXECUTE ANY AND ALL RELATED
DOCUMENTS RELATED TO THE SETTLEMENT.
WHEREAS, on December 22, 1997, Met Construction, Inc.(Met) filed a complaint styled
Met Construction. Inc. v. City of Miami Beach, Case No. 97-28833 CA 25, for alleged breach of
contract involving roofing work on Old City Hall, for which Met sought damages, pre-judgment
interest, costs and attorney's fees; and
WHEREAS, on October 13, 1998, the City of Miami Beach filed a counterclaim against Met
for damage related to a fire on September 19, 1995, which originated on the roof which was being
repaired at the time by Met;
WHEREAS, subject to the terms set forth herein, Met and the City, without admission of
liability, have agreed to finally resolve any and all claims and disputes by and between them; and
WHEREAS, the aforementioned parties desire to avoid further expense, time, effort and
uncertainty in regard to this action;
NOW, THEREFORE, BE IT DUL Y RESOLVED BY THE MAYOR AND CITY
COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, that the Mayor and City
Commission herein approve a settlement of the lawsuit styled Met Construction. Inc. v. City of
Miami Beach, Case No. 97-28833 CA 25, in the amount of $35,000.00 on the breach of contract
claims; receiving $506,253.00 on the City's Counterclaim; and further authorize the City Attorney's
Office to execute any and all related documents.
PASSED and ADOPTED this 10th
April
, 2002.
ATTEST:
MP~
CITY CLERK
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City NAoitntIf Date
OFFICE OF THE CITY ATTORNEY
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MURRAY H. DUB BIN
City Attorney
Telephone:
Telecopy:
(305) 673-7470
(305) 673-7002
COMMISSION MEMORANDUM
TO: Mayor David Dermer and DATE: April 10, 2002
Members of the CiiJ7com .ssion
FROM: Murray H. Dubbin ;
City Attorney ~~ d
SUBJECT: A RESOLUTIO~ '~~ THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI
BEACH, FLORIDA, TO APPROVE THE SETTLEMENT BETWEEN THE CITY OF MIAMI
BEACH AND MET CONSTRUCTION, INC.
On or about June 7, 1995, Met Construction entered into a contract with the City for roofing
repair and replacement on the north and south roofs of Historic Old City Hall, located at
1130 Washington Avenue. While in the process of this job, on or about September 19,
1995, a fire originated on the south portion of the roof, which burned a significant part of
the building and caused extensive damage to the entire building. The necessary repairs
and fire restoration were approved by the City Commission in September 1996. The
restoration contractor, Integrated Environmental Services (IES), subsequently defaulted
on the project, which was substantially completed by its bonding company in the summer
of 2000 and finally completed thereafter by the City.
On December 22, 1997, a lawsuit was filed in Circuit Court in Dade County by Met
Construction against the City alleging breach of contract. Met had substantially completed
its work under the contract before the fire. Subsequent to the fire, Met was retained by the
City to conduct emergency repairs. However, Met's contract was never terminated in
accordance with the contract documents. The payment of this settlement will be as follows:
(1) $35,000.00 will be paid to Met by the City out of the General Fund; (2) Met andlor its
insurer, Zurich, will pay the City $506,253.00.
As an agreement has been reached with Met andlor its insurer in mediation (subject of
course to approval by the Commission), it would be in the best interest of the City to
resolve this matter without further litigation, exposure to risk, time and expense.
MHD\RLM
F:\ATTOIMONRlCOMMERCIIMETCONST\COMMISSI.MEM
Attachment
AGENDA ITEM
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DATE
1700 Convention Center Drive -- Fourth Floor -- Miami Beach, Florida 33139