City of Brady sues to recover for faulty utility equipment

Brady City Manager Merle Taylor announced that the City of Brady has filed suit against Johnson Controls, Inc. The suit is related to a 2002 agreement whereby Johnson Controls was contracted to upgrade the City’s utility billing infrastructure. City officials have been very dissatisfied with the company’s performance and filed suit only after settlement negotiations with Johnson Controls recently reached a stalemate. The City of Brady joins an ever-increasing list of Texas cities that have either sued or entered into settlement agreements with Johnson Controls over the company’s handling of municipal utility infrastructure improvements. ‘Johnson Controls repeatedly asserted that they could assist the City of Brady in improving utility billing efficiency, reducing waste and lost costs,’ said Taylor. ‘They made these statements in an effort to obtain our agreement to a performance contract. The performance contract guaranteed results that the company has not delivered. The City has sued the company to recover for the failure to live up to its guarantee.’ Despite reporting a profit of nearly $1.2 billion dollars for the first three months of fiscal year 2007 alone, lawyers for Johnson Controls rebuffed the city’s recent attempts to revisit settlement negotiations. When asked for comment, lead plaintiff’s counsel Assistant City Attorney Roger Gordon stated, ‘While this litigation may appear to be a modern-day version of David vs. Goliath, I am confident the city’s claims have merit, and look forward to the opportunity to present the city’s evidence to a McCulloch County jury. “The city has no interest in accepting a settlement that fails to fully compensate the citizens of Brady for Johnson Control’s failure to deliver as promised,’ he said.

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