A lawsuit for $2.8 million sounds like a big deal. It sounds like less of a big deal when it’s part of a $1.8 billion stadium project.
Via Mick Akers of the Las Vegas Review-Journal, ADP International has named multiple entities in a lawsuit for alleged non-payment, including the Raiders, the Las Vegas Stadium Events Co., the Las Vegas Stadium Authority, general contractor Mortenson-McCarthy, Merrill Iron & Steel, and others.
Don Webb, the COO of the Raiders-owned entity that is building the stadium, said the dispute is between Merrill Iron & Steel and ADP only.
“This is a lawsuit concerning a dispute over payments claimed to be owed by a second-tier subcontractor to third-tier supplier,” Webb told Akers. “It does not involve any claims concerning payments made or owed by the Raiders, [the Stadium Events Company] or the Stadium Authority.”
Webb also explained that the various contracts require the general contractor and all subcontractors to fully indemnify the Raiders, the Stadium Events Company, and the Stadium Authority. Thus, any claims against the contractor and subcontractors will be covered by those companies.
So, basically, this looks like a non-issue for the Raiders and those who will be running the stadium. But it’s definitely an issue for Merrill Iron & Steel, as evidenced by the fact that the company’s president abruptly hung up the phone on Akers when Akers called for comment.