Contractor sues Snowmass restaurateur
The Aspen Times
Aspen, CO Colorado
ASPEN – A contractor’s lawsuit against an embattled restaurateur claims it is owed more than $600,000 for construction work at eating and drinking establishments in Snowmass Village.
Colorado First Construction Co. and PCL Construction Services Inc. of Denver states in its lawsuit that Scott DeGraff of Junk/LS LLC owes $663,732.41 for work done at Liquid Sky and Junk in Base Village.
The construction firms do business as a joint venture, according to the lawsuit.
DeGraff controls the companies that own Junk and Liquid Sky. The lawsuit, which also lists Base Village Owner LLC, Related Westpac LLC and other companies as defendants, was filed Monday in Pitkin County District Court. DeGraff, who opened Junk and Liquid Sky this past ski season, could not be reached for comment Tuesday.
The lawsuit claims Junk/LS agreed to pay the construction group $1.89 million to perform “interior and exterior finish construction work.” The total was later upped to $2.11 million because of additional work.
As an inducement to commence work on the project, DeGraff “guaranteed payment” Nov. 3 to the construction group for the work, the lawsuit says.
The work at Junk and Liquid Sky was related to another agreement that the construction group had earlier entered.
About six months before DeGraff executed his guarantee, Base Village Owner LLC agreed to pay about $1.8 million for “interior rough-in construction work” at Junk and Liquid Sky. That amount was later increased to $2.77 million, in part because of work change orders.
The agreement – between Base Village Owner and the construction group – was dated May 15, 2008, the lawsuit states.
The construction companies claim Base Village Owner still owes $157,901 for work at the restaurants.
Base Village Owner and Related Westpac own the property beneath the businesses.
The construction firms notified Base Village Owner “of its default” June 18. Junk/LS was notified of its default by a letter dated June 16, according to the lawsuit.
Colorado First Construction officials could not be reached for comment Tuesday.
The construction firms, which have also filed a mechanics lien on the property, claim they are entitled to foreclose and sell the property that houses Junk and Liquid Sky.
The proceeds would be applied to the monies owed for the work. The companies further claim they continue to suffer damages in an amount to be proven at trial.
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