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Home New Cases Johnson Controls Sued For Alleged Breach of Contract

Johnson Controls Sued For Alleged Breach of Contract

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October 22, 2021, Eastern District of New York –  Trustee Andrew M. Thaler of the bankruptcy estate of Potenza Electrical Corp (Potenza) recently brought an adversary proceeding against Johnson Controls, Inc. (JCI) for breach of contract and quantum meruit.

Through its complaint, the Trustee seeks to collect certain sums in the neighborhood of $600k allegedly owed by JCI to the estate for the work allegedly performed by Potenza before the Potenza’s filing under Chapter 7 of the Bankruptcy Code. 

As stated in the complaint, Potenza was a sub-contractor performing electrical work. The Trustee alleges that JCI breached a sub-contract with Potenza for Hudson Yards Project by allegedly failing to pay the amount due and owing for labor and material furnished under the agreement.

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