HomeMy WebLinkAboutMINUTES - 11041986 - X.6 X.Y.
THE BOARD OF SUPERVISORS OF CONTRA COSTA COUNTY, CALIFORNIA
Adopted this Order on November 4 , 1986 by the following vote:
AYES: Supervisors Schroder, Torlakson and. Powers
NOES: None
ABSENT: Supervisors Fanden and McPeak
ABSTAIN: None
SUBJECT:
Dismissal of County from )
Lawsuit by Stipulation or )
Interpleader )
1. Recommended .Action. County Counsel and the General Services
Director recommend that the Board take the following actions :
A. AUTHORIZE County Counsel to enter into a stipulation which
provides for dismissal of the County upon the deposit with the court of
$13, 458 . 44 withheld on Project No . 250-8526/C. 1 , or to file a cross-
complaint interpleading the withheld money.
B. DIRECT County Auditor to prepare check for $13 , 458 . 44 for
deposit with the court and AUTHORIZE County Counsel to deposit check with
County Clerk.
2 . Financial Impact: None. The withheld money ( $13 , 458 . 44 ) is
payable to the contractor or the State Division of Labor Standards
Enforcement.
3 . Background : On August 20 , 1985 , the County entered into a
contract with AIM Engineering, Inc . for replacement of the boiler in the
courthouse. The work was accepted by the Board and a notice of completion
was recorded on May 15 , 1986 .
On March 14 , 1986, the County received a stop notice from the State
Division of Labor Standards Enforcement. In response to the stop notice,
the County withheld, and is now holding, $13 , 458. 44 from the contract
monies payable to AIM Engineering, Inc.
On September 29 , 1986, the County was served with a summons and
complaint in a lawsuit filed by AIM Engineering, Inc . (Contra Costa County
Superior Court Case No. 2.89921 ) . The lawsuit seeks payment of the money
withheld by the County. The state has also filed suit to enforce its stop
notice, but has not served the County.
The withheld money is owed either to the contractor (AIM Engineering,
Inc. ) or the state . The parties have indicated a willingness to enter into
a stipulation dismissing the County from the lawsuit upon the deposit of
$13 , 458. 44 with the court. If the stipulation is not forthcoming, the
County can file a cross-complaint in interpleader, deposit $13, 458 . 44 with
the court and obtain a court order dismissing the County from the lawsuit.
4 . Consequence of Negative Action: County will remain a party in the
lawsuit and will continue to incur expenses in defending itself .
1 hereby certify that this is a true and correctcopyvt
Orig. Dept.: Countv Counsel an action taken and entered or..tho minutes of the
cc: General Services Deot. Board of Supervisors on i e date shown.
Attn : Architectural Servs . Div•ATTESTED:
County Auditor-Controller PHIL BATCHELOR, Clerk of the Board
County Administrator of Supervisors and County Administrator
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BY r1fVVV1 01 A A A, Deputy