A company hired to work on the new convention centre construction (in Charlottetown, Prince Edward Island) is suing the Charlottetown Area Development Corporation for more than $1.6 million.
In a statement of claim filed July 27, Irving Equipment said CADC owes $1,639,296.36 plus interest after the company provided a crane and pile driving services during the convention centre’s construction.
Irving Equipment is also seeking costs for the legal action and interest on the amount claimed.
The lawsuit is the latest hiccup for the development that saw a seawall buckle twice and CADC replace the company that was installing it, which led to project delays.
Several boaters also complained this summer that dust from the construction site was damaging their boats parked at the neighbouring marina.
Meanwhile, three companies, including Irving Equipment, have filed lien claims against CADC for work they said went unpaid.
Nova Scotia based Amcon Ltd. filed a lien claim in December for almost $300,000 for work it did on the seawall.
Birt & McKay Backhoe Services filed a claim in February for more than $2 million for work it said the company wasn’t paid for since early October.
Birt and MacKay Backhoe Services confirmed Friday (July 27) it still hasn’t been paid what the company claims it is owed.
CADC owns the land under development and will own the convention centre once it is finished, with the Delta Prince Edward contracted to run it.
The convention centre is a $17.5-million project with $8.5 million from the federal government and the provincial government contributing the rest.
Work is supposed to finish next summer.
In Irving Equipment’s claim, the company said it entered into a contract with Birt & MacKay Backhoe Services and it performed work under the contract’s terms.
The last work was done April 5.
Irving Equipment claimed it did the work at CADC’s request, on its credit and to the development corporation’s benefit.
In May, Irving Equipment filed its own lien claim for $2,085,903.37, but said in the statement of claim it has since been paid some of the outstanding amount.
CADC previously declined to comment on any payments that were in dispute and has yet to file a statement of defence.
None of the claims have been proven in court.