Gordon Woodward Offers Comment on a Court’s Decision to Award $1.4 Million Summary Judgment Motion in Favor of Firm Client Graciano Corp.

Schnader’s Gordon S. Woodward was quoted in the article “Angelos Company Owes $1.4M for Repairs to Garage, Says Baltimore City Circuit Court,” which was published in the February 2 edition of The Daily Record (Baltimore, MD).

The article detailed the latest developments in a case brought by Schnader, along with co-counsel Steven Allen of Hodes, Pessin & Katz, P.A., on behalf of Firm client, Graciano Corp., a Pittsburgh-based construction company, against Peter G. Angelos demanding payment of more than $1.4 million for renovations done to an underground parking garage located just north of Angelos’ law office. On January 28, Baltimore City Circuit Court Judge Althea M. Handy issued a mechanic’s lien and ordered that the six-level garage in the 200 block of North Charles Street be sold unless the defendant pays or posts a bond by February 25.

Mr. Woodward noted that the summary judgment orders in the case were “totally appropriate” and that the construction company is in a “strong position with regard to any appeal.” He continued, “[w]hat’s significant here is the work; not only was it approved, it was requested by Artemis,” referring to Artemis Properties Inc., a managing agent for Angelos-related properties. “Graciano would like to be paid for it.”

Graciano was hired in 2006 by a holding company of Angelos’ to make repairs to the garage for $2.49 million. However, after four change orders and two separate invoices in the spring and summer of 2008, the final cost was nearly double the original estimate. Mr. Woodward noted that all of the extra work was authorized through the proper channels and that the defendant had “no complaints” about its quality. To date, Graciano claims it has been paid less than $3.37 million for what was more than $4.6 million worth of work.

Graciano sued in February 2009. On November 1, 2010, Judge John A. Howard held a hearing on summary judgment motions and found in favor of Graciano both on its claim and on the defendants’ counterclaim on Jan. 18, the day before trial was to begin. Judge Howard granted Graciano’s request for a mechanic’s lien for nearly $1.25 million, and Judge Handy subsequently added pre-judgment interest of $178,000 and the property sale details.