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Business Associations Keyed to LoPucki, 2nd Ed.
Country Contractors, Inc. v. A Westside Storage of Indianapolis, Inc.
Citation:
4 N.E.3d 677 (2014)Facts
In August 2007, Westside entered into a contract with Country Contractors to provide earthwork and storm sewer construction on Westside’s property. The contract was later amended to increase the price from $202,855 to $235,000. Country performed some excavation but subcontracted much of the project to O & M Excavating, which in turn contracted with other suppliers. By fall 2008, Westside had paid Country $191,535.72 on the contract. Country paid O & M’s first four invoices but did not pay the final invoice for $38,182.23. By the end of 2008, Country stopped working on the incomplete project. In February 2009, O & M and other subcontractors filed mechanic’s liens on Westside’s property. In May 2009, Westside paid these lien claimants directly to extinguish the liens. That same month, Country filed its own mechanic’s lien against Westside’s property for $38,125, the approximate amount of O & M’s unpaid final invoice. Westside then hired another contractor to complete the project for $33,137.14, bringing Westside’s total cost to $286,162.86. The Songers, who were the sole shareholders of Country, had no direct involvement in the Westside contract, which was handled by Country’s operations staff. By 2007, Country was operating at a loss, and at the time of trial, it was in bankruptcy.
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