Fletcher Pacific Construction Co Ltd (Guam) v Sherwood Ltd [2005] GUSC 19; 2005 Guam 18 (7 November 2005)

IN THE SUPREME COURT OF GUAM

FLETCHER PACIFIC CONSTRUCTION CO., LTD. (GUAM)
Plaintiff-Appellee,

vs.

SHERWOOD LTD., dba SHERWOOD HOTEL
and FIRST COMMERCIAL BANK, LTD.,
Defendant-Appellant.

Supreme Court Case No.: CVA04-020
Superior Court Case No.: CV1858-98

OPINION

Filed: November 7, 2005

Cite as: 2005 Guam 18

Appeal from the Superior Court of Guam
Argued and submitted on March 9, 2005
Hagåtña, Guam

Appearing for the Plaintiff-Appellee: Francis M. McKeown, Esq. McKeown & Associates 2550 9th St., Ste. 202 Berkeley, CA 94710

Appearing for the Defendant-Appellant: Thomas C. Sterling, Esq. Klemm, Blair, Sterling & Johnson, P.C. Suite 1008 Pacific News Bldg. 238 Archbishop Flores St. Hagåtña, GU 96910

BEFORE: FRANCES M. TYDINGCO-GATEWOOD, Presiding Justice^[1]; F. PHILIP CARBULLIDO, Chief Justice; MIGUEL S. DEMAPAN, Justice Pro Tempore; ALEXANDRO C. CASTRO, Justice Pro Tempore.

CARBULLIDO, C.J.:

[1] Plaintiff-Appellee Fletcher Pacific Construction Co., Ltd., (Guam), (“Fletcher”) bid for and won a contract to build the Sherwood Hotel (“Sherwood”) on Guam. Construction disputes concerning the defective installation of the Exterior Insulated Finishing System, among other things, plagued the contract. Fletcher filed a mechanic’s lien to protect its interests and the case went to arbitration, where Fletcher won an award that was subsequently confirmed by the Superior Court. Under Guam law, defective work costs and nonconstruction costs may not be included in the amount of a mechanic's lien. As the trial court did not include the cost of installing and removing the faulty Exterior Insulated Finishing System, the judgment was correct. Consequently, we affirm.

I.

[2]