SYLMAR, Calif.--(BUSINESS WIRE)--
Tutor Perini Corporation (NYSE: TPC), a leading civil and building
construction company, today announced that its Perini-Kiewit-Cashman
(PKC) Joint Venture recently prevailed in a court decision in its
long-standing dispute with the Massachusetts Department of
Transportation (MassDOT) regarding the Central Artery/Tunnel Project in
Boston. Tutor Perini is the managing partner in the joint venture with a
56% interest.
The dispute is related to a series of claims for additional contract
time and compensation against MassDOT for work performed by PKC on a
portion of the Central Artery/Tunnel Project. During construction,
MassDOT ordered PKC to perform changes to the work and issued related
direct cost changes, excluding time delay and inefficiency costs. A
three-member Dispute Resolution Board (DRB) issued several awards and
interim decisions in favor of PKC’s claims. MassDOT had sought and was
successful in having the DRB’s binding awards vacated under the premise
that the DRB exceeded its authority.
The decision this week, issued by Superior Court Justice Thomas P.
Billings, affirmed the DRB’s role as the binding arbitrator. In issuing
its decision, the court ruled that each of the claims at issue for the
Third and Fourth DRB panels are, in fact, subject to the binding dispute
resolution process, and the DRB’s awards on these claims are reinstated.
Commenting on the decision, Tutor Perini’s CEO, Ronald N. Tutor, said,
“The Joint Venture is extremely pleased with the judge’s decision on the
C11 case involving the Central Artery that has been ongoing in excess of
15 years. The Dispute Review Boards’ decisions and awards, including
accrued interest to date, exceed $80,000,000 as the amount due currently
to our Joint Venture. This still leaves substantial additional
non-binding DRB awards to be either adjudicated or resolved between the
parties. This decision certainly vindicates our position and the vigor
with which we pursued this litigation over all these years.”
About Tutor Perini Corporation
Tutor Perini Corporation is a leading civil and building construction
company offering diversified general contracting and design-build
services to private clients and public agencies throughout the world. We
have provided construction services since 1894 and have established a
strong reputation within our markets by executing large complex projects
on time and within budget while adhering to strict quality control
measures.
Source: Tutor Perini Corporation