The Real Deal New York

Forest City Ratner files another suit against Skanska USA

Developer claims construction firm is in breach of contract after work stoppage at B2 BKLYN site

September 08, 2014 01:40PM

From left: B2 BKLYN rendering and Richard Kennedy

From left: B2 BKLYN rendering and Richard Kennedy

Forest City Ratner has slapped its joint venture partner, Skanska USA Building, with a second lawsuit in a developing dispute over construction of modular units for its Pacific Park Brooklyn residential project.

On Friday, FCRC Modular, a Forest City Ratner limited liability company, filed a complaint with the New York State Supreme Court alleging that Skanska Modular and its president Richard Kennedy were in breach of contract after furloughing workers at a factory operated by FC+Skanska. The complaint claims that a work stoppage must first be approved by the board of FC+Skanska, a joint venture of Forest City Ratner and Skanska, and that Skanska did not seek approval before stopping work.

Forest City Ratner is seeking damages to be determined by the court and an injunction that would resume operations at the factory, according to a statement from the company. FC+Skanska was formed to fabricate modular units for the B2 BKLYN residential tower that is under construction at the site formerly known as Atlantic Yards.

Forest City Ratner filed a counter-suit last Tuesday after Skanska submitted a complaint claiming the developer changed the construction plans at B2.

Also on Friday, Brooklyn Borough President Eric Adams and City Council members Laurie Cumbo and Brad Lander called on the two companies to work out an agreement while the court considers the broader issue. – Tom DiChristopher

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