Southeast Texas Record

Thursday, April 9, 2020

Debris removal service sues to collect unpaid invoices from yacht club

By John Suayan, Galveston Bureau | Nov 2, 2010

GALVESTON - DRC Emergency Services has filed suit against Galveston Yacht Club, CNA Insurance Co. and The Sealy & Smith Foundation over an unpaid invoice for storm cleanup.

According to court papers filed Oct. 26 in Galveston County District Court, the Galveston Yacht Club and contracted with DRC Emergency Services to perform debris removal services. The contract also states that the yacht club made an assignment of their insurance rights for the work, the original petition says.

After Hurricane Ike struck Galveston Island in September 2008, a massive fire further damaged the yacht club.

DRC claims it removed more than 300 vessels, demolished multiple existing structures and docks and processed and disposed of tons of debris.

The yacht club received an invoice after the project was finished. A partial payment was issued to DRC while the total amount came under review, the suit says.

The plaintiff claims it attempted to communicate with the yacht club about reaching a resolution on the final pending payment to no avail.

The Sealy & Smith Foundation is named a defendant because it reportedly controls the financial operations of the yacht club while CNA Insurance is faulted for contractual interference and unjust enrichment.

Consequently, the plaintiff seeks unspecified monetary damages and a jury trial.

It is represented by attorney Shawn W. Hodge of Galveston.

The case has been assigned to Galveston County 212th District Court Judge Susan Criss.

Case No. 10-cv-4028 

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