A judge has ruled the City did not have the right to terminate the contractor hired to build City Hall and Guelph’s Provincial Offences Court, despite the City having done so with the best interests of Guelph taxpayers in mind.
The decision was delivered today, and the court will provide its reasons for the ruling at later date.
To end delays and complete the construction of City Hall and the Provincial Offences Court, the City terminated Urbacon’s contract in October 2008. Urbacon had failed to meet two agreed upon extensions to the substantial completion date for City Hall, and failed to provide updated construction schedules despite repeated requests.
“Today’s court decision is disappointing,” says Guelph’s chief administrative officer, Ann Pappert. “The City decided on its course of action because construction delays were costing the City—and Guelph taxpayers—thousands of dollars. Based on the contractor’s performance, there were deep concerns about Urbacon’s ability and commitment to complete the second part of project; the renovation of Guelph’s Provincial Offences Court.”
The court has not provided the reasons for its decision, nor has it determined of the amount of damages to be paid.