SACRAMENTO – A Mississippi company alleges a Rhode Island company owes it for additional costs it incurred while working on a federal project.

United States, for the benefit and use of Madison Services Inc., filed a complaint on Nov. 11 in the U.S. District Court for the Eastern District of California against Travelers Casualty and Surety Co. of America and ITSI Gilbane Co., now known as Gilbane Federal, citing the Miller Act.

According to the complaint, the plaintiffs allege that Madison Services Inc. entered a contract with ITSI for renovation of housing units and a community center at Guantanamo Bay through Navy’s Naval Facilities Engineering Command. The suit states ITSI caused interference with Madison's ability to complete the work and cost it $1,272,114.86 in additional costs, which the defendant allegedly refuses to pay.

The plaintiffs hold Travelers Casualty and Surety Co. of America and ITSI Gilbane Co. responsible because the defendants allegedly refused to pay its contractual obligations under its subcontract with plaintiff.

The plaintiffs request a trial by jury and seek judgment against defendant in an amount not less than $1,272,114.86, plus interest, attorneys’ fees and further relief at law. They are represented by Wesley C.J. Ehlers of Ehlers Law Corp. in Sacramento.

U.S. District Court for the Eastern District of California Case number 2:16-at-01385

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U.S. District Court for the Eastern District of California
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