A local contractor is suing the city of the Keokuk over an alleged "breach of contract. John W. Sammons Construction Company said it has not been fully paid for a project it believes has already been completed.
The city hired the company in June 2012 "to install approximately 28 manholes and miscellaneous work include surface repair and clean-up." Sammons was to be paid $578,807.00.
The city expected the project to be completed that fall, but the work continued into the summer of 2013.
The city council considered cancelling the contract in June 2013, but ended up agreeing to allow Sammons to finish the job.
Aldermen also decided to fine the company for not completing the work on time. The city said the late fees were halted once they reached $40,000, which came out of the original contract amount.
In addition, Keokuk chose not to approve a certificate of completion for the project, which allowed the city to withhold payment if needed.
City leaders said given the current lawsuit, they could not comment on the late fees or the amount still owed to Sammons.
Sammons contends that the project is finished, thus the lack of full payment constitutes a breach of written contract.
The lawsuit does not state how much money -- if any -- the city owes the company, or how much in damages Sammons is seeking other than the request for compensatory damages, interest, court costs, and any other relief the court deems appropriate.
