City of Sioux City v. Siouxland Engineering Associates, P.C.

Plaintiff, City of Sioux City, appeals an order denying the parties’ right to set off adverse judgments. The judgment of the district court is reversed, and the case is remanded for further proceedings.

I. Background Facts and Proceedings

In June of 1992, Siouxland Engineering Associates (SEA) began to design, and supervise construction on, a reservoir for the City of Sioux City. Upon completion, it was discovered the ground had settled and additional repairs would be required to prevent the structure from leaking. A settlement was reached in August of 1995 whereby SEA agreed to contribute…