Contractor’s Third Party Beneficiary Claim Dismissed Against Designer Where Designer’s Contract with Owner Lacked Clear Intent to Benefit the Contractor

Arco Ingenierosm, S.A. v. CDM Int’l Inc., Civil Action No. 18-12348-PBS, 2019 BL 100779 (D. Mass. Mar. 22, 2019)

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Luke Nicholas Eaton

In November 2009, Tropical Storm Ida hit El Salvador, causing flooding, landslides, and the destruction of homes, roads, bridges, schools, health clinics, and other infrastructure.  The United States Agency for International Development (“USAID”) provided $25 million in funding to rebuild damaged infrastructure.  USAID retained Defendant CDM International Inc. (“CDM”) to conduct studies and assessment for the construction of eight schools and one health clinic (the “Projects”) and to create preliminary designs and technical specifications for these Projects.  These preliminary designs were intended to constitute at least thirty percent of final designs for the Projects.  Relying on the preliminary designs created by CDM, Plaintiff Arco Ingenieros, S.A. de C.V. (“ARCO”) submitted bids to act as the design-build contractor for the Projects.  USAID awarded the Projects to ARCO.

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Supreme Court of New York Rejects Property Owner’s Request for Further Itemization of Mechanic’s Lien, Holding Production of Invoices Detailing the Quantity, Price and Date of Delivery of Materials Is Not Required

Matter of Red Hook 160 LLC v. Borough Constr. Grp. LLC, No. 524909/18, 2019 BL 122210 (N.Y. Sup. Ct. Mar. 19, 2019)

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John J. Gazzola

This cases arises out of a project owner’s request for further itemization of amounts claimed in a construction manager’s mechanic’s lien.  Red Hook 160 LLC (“Red Hook”), the owner of the property sought to be liened, demanded a revised itemized statement of the mechanics’ lien filed by Borough Construction Group, LLC (“BCG”), the construction manager hired in connection with the construction and renovation of a six story building located at 160 Imlay Street in Kings County, New York.

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