T.G.I. East Coast Construction Corp. v. Fireman's Fund Insurance

LASKER, District Judge.

I

T.G.I. East Coast Construction Corp. (“TGI”) is a general contractor which contracted with the Town of Parsippany-Troy Hills for the construction of an advanced wastewater treatment plant in 1977. It negotiated an agreement with Cotroneo & Colletti Concrete Inc. (“C & C”) as subcontractor to do the concrete work on the project. Upon learning that C & C was not in a position to secure a bond for $6 million dollars (the value of the job), TGI and C & C agreed to divide the concrete work into two overlapping subcontracts of approximately $3 million dollars each designated…