J.M. Peters Settles Faulty Construction Claim in Newport : Litigation: President of condo homeowners association says he’s pleased by $6.6-million settlement reached with builder and two subcontractors.
J.M. Peters Co. and two of its subcontractors have paid a total of $6.6 million to settle claims of faulty construction in its 168-unit Bayridge Park condominium complex in Newport Beach, lawyers said Monday.
The Bayridge Park Homeowners Assn. sued the Newport Beach home builder in Orange County Superior Court in 1990, alleging construction defects throughout the project, including roofing and dry rot problems.
For the record:
12:00 a.m. March 23, 1995 For the Record
Los Angeles Times Thursday March 23, 1995 Orange County Edition Business Part D Page 2 Financial Desk 2 inches; 49 words Type of Material: Correction
J.M. Peters--A Nov. 29 story incorrectly reported the amount of damages that two contractors would pay home builder J.M. Peters Co. to settle claims in a faulty construction lawsuit. With neither subcontractor being assigned blame, New Plumbing Contractors Inc. of Orange paid $195,000 to J.M. Peters, and Davey Roofing of Irvine paid $115,000.
As part of the settlement, two subcontractors--Davey Construction and New Plumbing Contractors--have agreed to pay $2.2 million, and J.M. Peters will pay $4.4 million, said lawyer Wes Davies, who represented the homeowners.
“This is one of the many projects built between 1983 and 1986, a time period where we’ve seen a lot of the construction defect problems,” Davies said. Another claim for $4 million is pending against a roofing subcontractor, Davies said.
Robert Hickman, president of the Bayridge Park Homeowners Assn., said, “We are pleased with the cooperation of J.M. Peters, and its settlement contribution will assist in ensuring that the Bayridge Project will continue to stand as one of Orange County’s finest condominium complexes.”
Officials at J.M. Peters would not comment.
