OREGON — The City of Oregon has reached a settlement agreement with Civil Constructors Inc., doing business as Helm Civil, in a lawsuit tied to a 2023 street seal coat project. Under the agreement, Helm Civil will pay the city $55,000 within 14 days after final approval. In return, the city will dismiss the lawsuit with prejudice after receiving payment. Oregon City Manager Darin DeHaan said the dispute stemmed from work performed under a contract for street improvements, which led to legal action filed in Ogle County.
“This is related to two years ago, our seal coat project ended up failing. And so we ended up filing a lawsuit against that contractor. We entered a mediation process, in which basically an independent attorney worked between the city and Helm and their attorneys to try and find some agreeable amount to settle this claim, and we were able to do that within the parameters that the council had set,” said DeHaan.
The agreement resolves all claims between the city and Helm Civil related to the project, while separate litigation involving the city and its engineering firm may continue.