Developer denies wrongdoing, plans countersuit
Ironwood developer David Moffitt is being sued by a contractor who claims he failed to pay for work on the Turtle Cove condo units.
Cayman Structural Group has filed a writ in Grand Court claiming the developer breached the terms of a contract for construction work on a second-floor slab at the development.
The company claims Mr. Moffitt broke off the contract without telling them and got another firm to finish the job using its equipment.
Mr. Moffitt is currently attempting to put together a $360 million golf resort project, known as Ironwood, involving a public-private partnership with government to build a road in Grand Cayman.
He said the lawsuit was unconnected to the resort plan and would have no impact on the project.
Mr. Moffitt said in a statement that the issue at Turtle Cove was related to “unperformed work” and said he would be countersuing the contractor.
The statement said the dispute stemmed from a split in the ownership of Cayman Structural Group, and that Mr. Moffitt and his team had continued to work with the Caymanian partner in that company.
In a court filing dated March 19, 2015, lawyers for Cayman Structural Group Ltd. claim the firm signed a construction agreement in December 2013 for a $110,000 contract at Turtle Cove.
It states, “The plaintiff commenced work immediately after signing the contract and in mid January 2014 sought payment in full from the defendant in accordance with the terms of the agreement.
“The defendant indicated that he was not in a position to pay and would make payment in two weeks time.
“The plaintiff returned to the site at the end of January, 2014 and upon viewing the job site, it was apparent that the defendant had in person or through a third party, commenced completion of the contract work to the exclusion of the plaintiff.”
The writ claims the company spent more than $87,000 on completing building work and spent an additional $17,000 on hiring scaffolding for the duration of the contract. It suggests the scaffolding was not returned to the company and was used by Mr. Moffitt and his partners, without consent, to complete the job.
Mr. Moffitt was previously served with a writ in Cayman Islands Grand Court in October 2012 seeking foreclosure on properties, for $2.6 million, used as security for a loan at Turtle Cove Ltd. He had previously told the Cayman Compass that this was settled and that the project was completed.
The Compass reported last year that Mr. Moffitt and his companies were named as co-defendants in writs filed with courts in Florida, as well as one in Grand Cayman.
The developer has insisted that all five U.S. cases are connected to a single project – a 300-acre industrial development park that failed to get off the ground following the global financial crisis.
A spokesman told the Compass at the time that project was the only blemish on a strong track record established over two decades and would not impact his ability to deliver the Ironwood project.