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As a subscriber you can listen to articles at work, in the car, or while you work out. Subscribe NowA Seymour construction company alleges it’s owed more than $840,000 for work done on a Westfield recreational park in a lawsuit filed this week in Hamilton County.
The lawsuit, filed Feb. 18 in the Indiana Commercial Court, alleges that defendant Norcon Inc.hired plaintiff PAF Construction LLC as a subcontractor for work done at Westfield’s Simon Moon Park.
The City of Westfield hired Norcon as a general contractor for the park’s expansion in early 2024.
PAF is represented by Barnes & Thornburg LLP. Attorneys for PAF did not wish to comment on the lawsuit.
The Indiana Lawyer reached out to Norcon for a statement on the lawsuit, but did not hear back before Friday’s deadline.
According to the lawsuit, in March 2024, PAF and Norcon entered into an agreement for work on the expansion project.
An article within the agreement stated Norcon could make changes to the project’s original plans, and that PAF was entitled to compensation for the materials and equipment it took to carry out those changes.
Throughout 2024, PAF “timely and properly” submitted invoices for payment to Norcon for work on the project, according to the lawsuit. PAF reported the company finished its work on the park on Dec. 27, 2024, and provided photographic evidence showing the work.
To date, Norcon has allegedly failed and refused to pay the six invoices PAF made throughout the project, which totals $847,894.62.
PAF argues that Norcon does not dispute that it earned approximately $352,000 under the agreement, but that the Chicago company is improperly withholding payments because PAF has not completed its work on the project.
The construction company also said approximately $327,000 of the money Norcon owes is due to changes to the project’s original plans.
The two parties participated in a meeting on Dec. 3, 2024, to settle the dispute informally, but it was not resolved, according to the suit.
A second defendant in the suit, Western Surety, issued a performance bond and payment bond in February 2024 as security for Norcon’s performance and payment obligations.
Under the payment bond, Western Surety allegedly guaranteed payment of up to more than $6 million if Norcon failed to promptly pay claimants, including PAF.
On Dec. 27, PAF submitted a non-payment claim to Western Surety explaining that the company was owed more than $847,000 and was now demanding that money from the insurance company.
On Jan. 31, 2025, Western Surety informed PAF it would not pay the money, but PAF argues the insurance company’s letter failed to say why it wouldn’t pay the amount.
PAF is suing Norcon for breach of contract and Western Surety for claim on payment bond. The company is suing for declaratory judgment and unjust enrichment against both defendants.
PAF is seeking payment for an amount no less than $847,893.62.
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