Business Journal: Yubacon Sues County


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(Sacramento, CA)
Wednesday, September 10, 2008
Disputes over public works projects are nothing new. But rarely do the allegations reach the level of fraud claimed by one contractor against El Dorado County.
Yubacon Inc. says the county deliberately withheld information about underground utility lines. The Placerville contractor alleges the county’s actions cost it $1.2 million in extra work.
The dispute stems from a project to improve roadways and build new ones at the Highway 50 interchange with Latrobe Road and El Dorado Hills Boulevard. Yubacon contends the county investigated water and sewer lines in the area but didn’t share the information with bidders. It says that information would have driven up those bids.
The county’s lawyer declined to comment, citing a policy of not discussing active litigation.
An arbitration hearing is scheduled Sept. 23.