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FortisBC sues DNV over Keith Road bill

The District of North Vancouver might be in hot water with an energy provider.
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The District of North Vancouver might be in hot water with an energy provider.

FortisBC is suing the District of North Vancouver for $762,880 over what the company claims is a breached contract regarding gas main work connected to the construction of the Keith Road Bridge.

According to Fortis’ recently filed civil claim, the district contracted the energy company to install a new gas main to provide heat for residents in the Capilano University neighbourhood. The work, which coincided with the demolition of the old Keith Road Bridge in the summer of 2015, was meant to be the first of a two-phase process.

Fortis estimated Phase 1 would cost $203,825. Upon completion of the work, which included abandonment of the gas main on the old Keith Road Bridge, Fortis submitted an invoice to the district for $424,906.83.

According to Fortis’ civil claim, the company would typically provide an estimate for the relocation of a gas main before the district would issue a purchase order. Following completion of the work, the municipality would pay Fortis.

That order went astray with Phase 2 of construction, according to Fortis.

Fortis estimated the second phase would cost $223,110. The district did not issue a purchase order.

As it was necessary for Phase 2 to be completed alongside bridge construction, Fortis began work in January 2016.

“The district knew, or ought to have known,” that Fortis was proceeding, “and did not object,” according to the company’s claim.

By allowing Fortis to complete the work, “the district accepted the estimate and agreed to pay,” according to the claim.

Fortis’ bill for Phase 2 was $337,973.29.

Fortis’ estimate for the entire project was $426,935 but its combined invoice was for $762,880.

The district has “refused or neglected” to pay Fortis, “despite demand,” breaching a contract and causing Fortis to suffer “loss and damage,” according to the claim.

Fortis is seeking a judgment in the amount of $762,880, plus interest. Alternatively, Fortis is requesting the company be paid a reasonable sum that the court may enforce when a dollar figure isn’t stipulated in a contract.

The District of North Vancouver declined to comment on the case.

The new Keith Road Bridge opened to traffic in April 2016 and was completed in December 2016. The $14-million project replaced the 70-year-old steel bridge.

This article has been amended to clarify the completion date of the new Keith Road Bridge.