ATLANTIC CONTROL SYSTEMS, INC.
MARA GENERAL CONTRACTORS, INC., GREENFIELD COMMONS, LLP and MARK PERROTTIMARA GENERAL CONTRACTORS, INC., GREENFIELD COMMONS, LLP and MARK PERROTTI
ATLANTIC CONTROL SYSTEMS, INC. and JAMES GRUNDY
Providence County Superior Court
For Plaintiff: David P. DeStefano, Esq.
For Defendant: Mark B. Morse, Esq.
This matter was heard by Associate Justice Francis J. Darigan, Jr. (R.I. Superior Court retired) on October 27 and 28, 2014 as a hearing on binding arbitration agreed to by all parties.
The issues in this case brought by the Plaintiff, Atlantic Control Systems, Inc. (Atlantic), were contained in five counts. Count I, Breach of Contract against Mara General Contractors, Inc. (Mara); Count II, Breach of Contract against Mark Perrotti (Perrotti) personally; Count III, Quantum Meruit against Mara; Count IV, Quantum Meruit against Perrotti; and Count V, Unjust Enrichment against Greenfield Commons, LLP (Greenfield).
The Defendants have counterclaimed for Breach of Contract and Unjust Enrichment against Atlantic for failing to complete the project and for causing the Defendants to lose financing for the project. There is also a Count for Lost Profits against Atlantic because the job was not completed by Atlantic. Defendants' third-party Complaint is against Mr. James Grundy personally for Fraud, Misrepresentation and Deceit.
The case revolved around Atlantic's Counts I and II against Mara and Perrotti for Breach of Contract and the Defendants' counterclaim against Atlantic for Breach of Contract and Unjust Enrichment and the third-party Defendants' Complaint against James Grundy, personally, for Misrepresentation, Fraud and Deceit, as well as the claim by Mara for Loss of Profit for failing to complete the project.
The parties, Mara and Atlantic, and the persons, Perrotti and Grundy, entered into a contract for $190, 000 (later increased to $228, 000) for site work on a piece of land owned by Greenfield to do the site work, utility work and HVAC work for Mara on a condominium project. There were to be constructed five buildings with two units each. The contract for the site work on the buildings was for $45, 000 ($9000 per building) for foundation work, etc.
The initial $190, 000 contract dated October 13, 2004 was signed on or about November 24, 2004 by Perrotti. Because of a delay in construction and rising costs, this contract was revised on or about October 2, 2006 to a figure of $228, 000 in addition to the contract for the buildings of $45, 000.
It is agreed that most of the work done on the project was in 2007 and 2008.
In addition to these contracts, there was a provision contained in each for the removal, disposal or handling of ledge or boulders greater than two cubic yards. This work was to be done by Atlantic on a "cost plus" basis and invoiced and paid by Mara to Atlantic as these materials were encountered.
There is no dispute that a great deal of ledge and boulder was encountered on this project.
Mara obtained financing for this project from Sovereign Bank for a construction loan in the amount of $300, 000 and a construction loan mortgage for $1, 000, 000.
The work pursuant to the two contracts was not completed and the bank curtailed financing for Mara.
The Court heard from two witnesses, Mr. James Grundy of Atlantic and Mr. Mark Perrotti of Mara. Both testified regarding their respective actions, perceptions and facts ...