In Spring 2015, VERTEX was retained by a surety client to oversee a portfolio of projects from one of its accounts, a New Jersey-based general contractor. These projects included university buildings, public housing developments, municipal buildings, and military installations in New York and New Jersey, with combined project value of over $200M.
As consultant to the surety, VERTEX provided multiple services on the Union County Family Courthouse project in Elizabeth, New Jersey. Following the termination of the original contractor, VERTEX prepared a cost-to-complete estimate for the project and investigated defects, including façade issues, which would need to be corrected in the completion of the work. Tasked with starting the remobilization of the Project, VERTEX assisted the surety in negotiating the Takeover Agreement and enabled the recommencement of work by reviewing subcontractor claims and re-engaging subcontractors through ratification agreements which were assigned to a completion contractor. At the request of the Owner and Surety, VERTEX also provided onsite management supplementation to the completion contractor for the first several months of the completion work.
VERTEX continued to provide services on the Project through completion, including review and analysis of payment bond claims; funds control; assistance to the completion contractor for scope gap solicitations; periodic monitoring for the surety and attendance at project meetings; and preparation of affirmative claims. A settlement meeting with the Obligee to review the affirmative claim prepared by VERTEX resulted in a favorable settlement.
VERTEX continues to assist the surety on the completion of projects in this portfolio.