Paused lawsuit against Paradise company leaves homeowner in limbo

3 week_ago 11

NL·New

Thomas O’Brien says he's disappointed that his suit against Paradise home-builder Karwood Contracting has been paused owed to the institution entering creditor protection.

Thomas O’Brien’s suit implicit incomplete contracted enactment astatine his location is stayed

Elizabeth Whitten · CBC News

· Posted: Mar 24, 2025 4:30 AM EDT | Last Updated: 11 minutes ago

Man successful  greenish  sweater astatine  a antagonistic  looking down   astatine  a fewer  pieces of paper.

Thomas O'Brien had 1 colony league assignment with Karwood Contracting earlier his suit was stayed. (Darryl Murphy/CBC)

A fed-up Paradise nonmigratory is successful ineligible limbo aft his suit against a Paradise home-building institution was enactment connected hold.

Last month, Thomas O'Brien's got a missive successful the message from lawyer Darren O'Keefe, the lawyer representing developer Greg Hussey's companies — which include Karwood Contracting.

The missive informed him that his suit had been stayed due to the fact that Karwood, the institution that built O'Brien's home, had entered creditor protection. 

O'Brien, frustrated astatine the latest crook of events, says companies don't participate creditor extortion retired of the blue.

"This is thing that they astir apt knew astir for rather immoderate clip that was connected the horizon," O'Brien told CBC News.

At this point, O'Brien said helium can't truly bash thing astir his long-standing occupation with Karwood.

"I tin astatine slightest marque definite radical cognize that this is simply a institution successful your assemblage that has demonstrated, to maine and each azygous idiosyncratic connected the thoroughfare retired there, that they are not trustworthy."

Image of a duplex location  with a paved driveway and spot  of greenish  lawn.

The Karwood website shows what the finished location is expected to look like, with manicured tract arsenic good arsenic paved driveway. (Karwood Contracting)

O'Brien lives successful a duplex-lined cul-de-sac disconnected Karwood Drive that has gravel pits for beforehand yards and driveways, contempt a declaration from Karwood Contracting to person the enactment completed by June 30, 2023.

Fed up with the company's deficiency of connection with him, O'Brien filed a suit successful tiny claims court, seeking $5,525 truthful helium could prosecute contractors to implicit the work.

But successful February, Hussey's 4 companies —  Karwood Contracting, Karwood Engineering, Karwood Design and Karwood Ontario — entered creditor protection.

"I had 1 time successful tribunal with them, a colony conference, and we were booked again to spell backmost this month," said O'Brien.

"Unfortunately since then, Karwood's filed for creditor protection, which means that each the kinds of tribunal proceedings against them are stayed. So I'm benignant of retired of luck close now."

In an email O'Keefe said the monitor, BDO Canada, is moving connected the restructuring process and it's going well.

"It is excessively aboriginal to archer however the outstanding operation issues for Nicholas Quinn Place volition beryllium resolved, but yet this is present successful the hands of the show to woody with, successful practice with the company. We are operating connected the presumption these issues volition beryllium dealt with," O'Keefe told CBC News.

The substance is owed backmost successful tribunal connected April 11.

'Biggest eye-roll'

In an affidavit dated Jan. 27, Hussey listed a litany of reasons down his companies' fiscal problems, including the interaction the COVID-19 pandemic had connected the terms and proviso of materials, the actions of different businesses and what helium described arsenic "aggressive lender behaviour."

Hussey said helium intends to usage this play successful creditor extortion to "weather the storm" and travel retired arsenic a leaner company.

However, O'Brien said he's skeptical astir the company's future, saying helium gave the "biggest eye-roll" erstwhile helium work Hussey's statement.

"It each conscionable sounds similar excuses from radical that had nary thought however to tally a concern effectively. Had nary thought however to support their customers' needs successful mind. And to beryllium honest, it feels similar they don't care," helium said.

A antheral   with blonde hair, smiling.

In an affidavit, Karwood Contracting president and proprietor Greg Hussey says his institution has been dealing with a multitude of problems that person strained its finances. (Karwood Contracting website)

O'Brien besides isn't hopeful the institution volition implicit the contracted enactment astatine his location if Karwood exits creditor protection.

"First off, if they bash someway negociate to 'weather the storm' oregon to get done this and travel retired connected the different broadside of it, I person nary content that they would travel through, still, connected that extremity of things," said O'Brien.

He said Karwood's past actions talk for itself, noting however he repeatedly tried to interaction the institution anterior to the lawsuit, but was ignored.

"So no, I person nary religion whatsoever successful Karwood Contracting oregon Greg Hussey," helium said.

Download our free CBC News app to motion up for propulsion alerts for CBC Newfoundland and Labrador. Sign up for our daily headlines newsletter here. Click here to sojourn our landing page

ABOUT THE AUTHOR

Elizabeth Whitten is simply a writer and exertion based successful St. John's.

    read-entire-article