Morgan County lawsuit claims construction company breached contract

By Ryne Turke on November 13, 2014 at 1:15pm

A construction firm is being sued for breaching multiple aspects of a contract made on a Jacksonville home.

A lawsuit filed yesterday in Morgan County Court by Donald and Lois Kording claims that a construction contract with Collwell Construction was not fulfilled, resulting in two counts of common fraud law and two counts of breach of oral contract.

The lawsuit, which only highlights one side of the case, is claiming that the plaintiffs hired Collwell Construction in the summer of 2012 for a home addition project at 2390 Mound. The project included construction on the large master bedroom, master bathroom and additional space for a sport memorabilia room. In the contract, the plaintiffs state that there was an agreed upon price for the construction project.

The lawsuit claims that the defendants engaged in submitting inaccurate and false billing during the construction process. The suit state that they were “induced to set up multiple credit cards at construction supply stores” and that those cards were used for items not associated with the project.

The suit also claims that items purchased at the supply stores were later returned for in-store credit, so that the defendants could purchase other materials for their own personal use.

According to the suit, a written estimate of purchase from Gray Yard Lumber Inc. in Modesto was modified by the defendants to mislead the price of supplies.

The lawsuit also mentions that a storm shelter was installed and added to the plaintiff’s bill, even though that project was not agreed on in the original plans.

Overall, the litigation indicates that the defendants never provided a complete accounting that reflected purchased items used in the project, never provided hours worked by the construction employees and never established a complete list of the paid funds which were handled.

The defendants vacated the worksite in early 2013 prior to completion, according to the suit. This led to the plaintiffs hiring other tradesmen to finish the project and one week of relocation expenses until the construction was complete.

Donald and Lois Kording, who are represented by Campbell and Kording Law in Bloomington, are seeking $70,000 in this lawsuit with the addition of court and service costs.