Problems

Angry Subcontractor

On public works jobs, All Temperatures Controlled’s unpaid subcontractors do not file liens. Instead, they file Stop Notices. In any event, if payment from the owner does not follow, a lawsuit by the subcontractor will follow. Here are some of the many occasions when All Temperatures’ angry subcontractors filed Stop Notices against the job site on the Pierce College campus:

Subcontractor	Sum Sought	Not only did many subcontractors charge that All Temperatures had not paid them, the State of California stepped into the fray, contending that All Tempeartures Controlled had violated wage and hour laws regarding payment of their own workers.
Catalina Pacific Concrete	$12,076
MI Steel	$8,886
Wesco Distribution	$11,583
Wesco Distribution	$66,425
Allsale Electric	$15,965

Not only did many subcontractors charge that All Temperatures had not paid them, the State of California stepped into the fray, contending that All Temperatures Controlled had violated wage and hour laws regarding payment of their own workers. On June 25, 2001, the Los Angeles Community College District wrote to All Temperatures Controlled about this matter:

Dear Sir:

The following verified statement of claim has been filed against your company. Accordingly, the total amount indicated below is to be withheld.

Project: HVAC System at LA Pierce College

Claimant: Labor Commissioner, State of California, Department of Industrial Relations, Division of Labor Standards Enforcement

Claim Filed: $64,076

Litigation expenses: $16,019

TOTAL Amount to be Withheld: $80,095

Site Observations at Pierce College

When the college inspected the job site first hand, they often found additional problems. On February 21 and March 21, 2001, the college’s consulting engineer, Kevin Smola, wrote to the college. "The contractor re-sized the duct from 16" round to 18 x 18 square. This resizing... results in greater noise levels. The noise is disrupting the classes, therefore this re-sizing must be corrected."

A second item concerns the boiler controls. "All Temperatures Controlled, Inc. removed the controls and has not replaced them. They shall be replaced by All Temperatures Controlled at no additional cost."

On March 20, 2000, the college noted that "the main chilled water supply and return piping has been installed at the performing arts building ... this verbal change remains unapproved."

During the bi-weekly meetings of the college and the construction participants, there were additional shortcomings noticed by All Temperatures. On October 25, 2000, the meeting minutes revealed that,

All Temperature’s air balance work has run into difficulties with the Chemistry and Physics buildings; Admininstration building not started; Fine Arts building has been started; no firm finish date projected.

Building B— air volume short.

The bolts at the cooling towers were installed without inspection. The anchor bolts for the cooling towers are missing.

Four shimmed machine bolts on the frame are still missing.

Problems at another job site

At another job at Valley College in Los Angeles, All Temperatures Controlled also had problems. According to "Notices of Non-Compliance and/or Non-Conformance" #1 on that job issued July 11, 2000: "At the cafeteria, concrete was placed without inspection... the inspection team did not receive a call to confirm the placement."