AMARILLO, Texas (KAMR/KCIT) — During Tuesday’s regular meeting of the Amarillo City Council, the council approved a resolution, coming to another settlement agreement with one of the entities involved in a 2017 lawsuit surrounding improvements to the city’s sewer system.
The resolution passed during Tuesday’s regular meeting approved a Rule 11 Settlement Agreement with L.A. Fuller & Sons Construction, Ltd. in relation to the Potter County District Court case “City of Amarillo, Texas v. Brandt Engineers Group, Ltd., L.A. Fuller & Sons Construction, Ltd., and Mission Clay Products, LLC.” As part of the agreement, L.A. Fuller and Sons Construction, Ltd., which is identified in the resolution as “the remaining unsettled defendant” in the lawsuit, agreed to pay the city $5 million “to settle disputed claims alleged” in the lawsuit.
This comes after the Amarillo City Council unanimously approved a settlement agreement with Mission Clay Products, LLC back in July. According to previous reports by MyHIghPlains.com, the company agreed to pay $11.1 million to the city in a settlement related to the same litigation.
The city of Amarillo filed a lawsuit in Potter County District Court in 2017 against the three companies after the city contracted with the companies to install a “gravity-fed, vitrified-clay pipe” manufactured by Mission Clay Products at various places throughout the city. According to previous reports, the pipe experienced “deterioration, delamination, cracks, fractures and other structural failures,” and after investigation, it allegedly showed there were numerous defects in the quality of the pipe and its installation which resulted in “sewer collapses, blockages, leaks and injury to other property.”
According to previous reports, the lawsuit lists various claims against the companies involved in the lawsuit including breaches of contract, negligence and breach of warranty. According to an unsigned copy of the resolution, which accompanied the agenda for the Oct. 25 regular meeting of the Amarillo City Council, officials said the settlement with L.A. Fuller & Sons Construction, Ltd. includes “the amount of its primary and excess insurance coverage applicable for the City’s claims against Fuller in the lawsuit.”
“…The City’s Outside Counsel has requested the City Council to approve the Settlement Rule 11 Agreement and authorize a representative of the City to sign and execute the Settlement Agreement on behalf of the City to be ratified by the City Council at a later date,” the resolution reads.
MyHighPlains.com has reached out to the city of Amarillo, along with L.A. Fuller & Sons, Construction, Ltd., for comment regarding this settlement. This story will be updated if officials respond to the request for comment.