Four construction companies that collectively built the MBTA’s Green Line Extension filed a lawsuit against their engineering firm, claiming its faulty designs led to more than $35 million in cost overruns.
The entity, GLX Constructors, is suing for professional negligence, breach of contract and contractual indemnity against STV Incorporated, saying in a Suffolk Superior Court filing that the engineering firm failed to reimburse GLX for these unexpected costs, as stipulated in the terms of their agreement.
“GLX Constructors seeks damages in excess of $35 million for losses suffered as a result of STV’s failure to comply with the requisite standard of care and its contractual obligations when performing services in connection with the Green Line Extension project,” the lawsuit states.
The roughly $2.3 billion Green Line Extension project was completed last December, with a new branch that starts in Medford at the Tufts/College Avenue station and adds four stops in Somerville. A smaller branch opened in March 2022, adding service at the Union Square station in Somerville.
The MBTA absolved itself of paying for these cost overruns during a 2016–17 bid process. The T required prospective contractors to submit design/build proposals with a fixed cost “not to exceed the established affordability limit,” the lawsuit states, noting that cost was of significant concern to the transit agency.
In response to the T’s request for proposals, GLX Constructors, an entity consisting of Fluor Enterprises Inc., The Middlesex Corporation, Herzog Contracting Corp. and Balfour Beatty Infrastructure, Inc., entered into a teaming agreement with STV Incorporated in January 2017, court documents state.
Pursuant to that agreement, STV Incorporated was responsible for preparing preliminary design drawings that GLX Constructors submitted as part of its bid proposal, the lawsuit states.
“At all times, STV understood that GLX Constructors was preparing a response to the MBTA’s RFP and that GLX Constructors would rely on and use the ready for estimate drawings to calculate the cost of the GLX project, which would be submitted as part of its price proposal to the MBTA,” the lawsuit states.
It goes on to state, “STV also understood that any post-award changes to the ready for estimate drawings could change the quantities and nature of the materials GLX Constructors had included for its price proposal, which, in turn would increase the costs of constructing the GLX project, and that such increased costs would not be paid by the MBTA.”
GLX Constructors claims in its lawsuit that STV agreed, as part of the teaming agreement, that it would be “responsible for costs and damages incurred [by GLX Contractors] as a result of errors in such quantities caused by the failure of [STV] to comply with the standards of skill and care” set out in that contract.
The lawsuit cites 10 separate instances where design drawings were “replete with errors and omissions,” requiring corrections that resulted in “costly overruns.”
It also points to a number of additional “omissions and errors in release for construction documents,” resulting in “costly corrections” and additional costs for GLX Constructors.
The construction entity claims STV refused to provide reimbursement for these cost overruns, when asked on multiple occasions.
STV Incorporated did not respond to a request for comment.