Woman wants $170K from defunct construction company

Kelly Holleran May 13, 2012, 11:14am

A woman has filed suit against the owner of a construction company she claims reneged on his promise to build her home after paying him $170,000.

Janet Daniels claims she hired Rich Cove Construction on May 1, 2010, to construct a pre-built home on land she owned. As a partial payment toward the construction, Daniels paid Rich Cove Construction $177,437.60, according to the complaint filed April 27 in Jefferson County District Court.

However, the construction company failed to make any improvements on Daniels's property, the suit states. On July 13, 2010, Daniels learned that the company had gone out of business, the complaint says.

In turn, Daniels claims she lost the money she paid to the company.

"Defendant intentionally, knowingly, and/or with intent to defraud Plaintiff, misapplied the construction trust funds, in that they were used, disbursed or otherwise diverted in such a manner that they were not used for the construction of the Plaintiff's home," the suit states.

Daniels names the company's managing partner, Richard L. Granquist, as a defendant, saying he knew the company was in financial trouble and could not complete construction on her home. Still, he deposited the payments from Daniels, according to the complaint.

Daniels alleges fraud and theft against the defendants.

In her complaint, Daniels is seeking a judgment in the amount of the money she paid to Rich Cove, plus pre- and post-judgment interest, additional and exemplary damages, attorney's fees, costs and other relief the court deems just.

Bill Richey of Griffin and Matthews in Beaumont will be representing him.

Judge Milton Shuffield, 136th District Court, has been assigned to the case.

Case No. D192-372

More News