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News

Chelsea School renovation leads to lawsuit

Day laborers often ripped off by subcontractors

Two day laborers who claim they were not paid any wages for four weeks of work at the Chelsea School have filed a lawsuit in the Silver Spring District Court. They were employed as part of the school’s renovation of its Silver Spring campus.

The Chelsea School is a nonprofit private school dedicated to educating area students with learning disabilities. Its 4.9 acre campus is located on Pershing Drive in downton Silver Spring. The site formerly housed the Academy of the Holy Names. The renovation is expected to be completed in 2005, according to the school’s website.

The workers, according to their lawsuit, allege they were picked up by a contractor on University Boulevard in October 2002. The man promised to pay Edwin Lopez $13 per hour and to pay his cousin Edgar Perez $16 per hour. Their duties included hanging drywall and plastering walls at the mansion located on the school’s campus. The day laborers each performed nine days of work before the man disappeared without paying any money, according to their lawsuit. That contractor, the workers believe, is Raul Salazar, of Beltsville.

When the two day laborers returned to the work site looking for Salazar, they met another contractor who again promised to hire them and to pay $15 per hour. This time the two cousins worked an additional eight days and again were not paid any money for their labor.

Workers left holding

a beeper number

According to the workers’ attorneys, school officials were extremely cooperative and provided information about the general contractor and sub-contractor assigned to do the work. This information was essential to the workers. After they realized that they were not going to get paid, they did not know where to turn, according to Jayesh Rathod, one of the attorneys representing the workers. "They literally were left holding a beeper number."

HRGM, of Washington, DC, was the general contractor on the Chelsea job. This is not the first time the corporation has had legal issues. According to a Washington Times article, last summer the company was fired from its job renovating the historic Tenleytown Fire Station for unsatisfactory performance. Also last summer, HRGM saw its contract terminated by Montgomery County Board of Education for work it was to complete at Glen Haven Elementary School after disputes arose about its performance under the contract.

The day laborers’ lawsuit names HRGM and its subcontractor, Stanley Taylor of STI Painting Contactors, Inc., defendants. Mr. Taylor, of Alexandria, has not been served with the papers. According to the lawsuit, STI is not registered to perform work in Maryland.

When is a general

contractor liable?

At the first hearing, District Court Judge Michael Algeo refused to let HRGM off the hook after its attorney asked that the corporation be dismissed from the lawsuit. The workers, through their attorneys, argued that HRGM is responsible for the non-payment of wages as a joint employer or worksite employer. The workers principally rely upon a Supreme Court decision that held a general contractor liable for the wage violations of its subcontractor whose employees were performing work integral to the business purposes of the general contractor.

According to Rathod, a general contractor is responsible under workers’ compensation laws for any worker injured on its job site. "We think the same principle applies when a crime occurs and workers don’t receive their salary," said Rathod.

For attorney Rathod, who is employed by CASA of Maryland, this case represents a larger trend facing immigrant day laborers. "We see an increasing number of cases where day laborers are hired by sub- or sub-sub-contractors who easily disappear without paying their workers after the work is completed," said Rathod.

Mechanic’s lien law

offers remedy

In a similar case filed by CASA, 12 workers are seeking to establish a mechanic’s lien against new condominium units being built by Washington Homes. The men were employed at King’s Farm in Gaithersburg and in Bowie. According to the petition, a sub-sub-contractor of Washington Homes failed to pay their wages for four weeks. In that case, the workers believe that they were not paid because a dispute occurred between the employer, Francisco Sandoval, and the sub-contractor, Independence Carpentry. Under Maryland’s Mechanic’s Lien Law, a property owner is liable in certain cases when persons supplying labor or materials are not properly paid, regardless of whether the property owner is guilty. This too is a powerful remedy for day laborers, who according to attorneys familiar with the case, are increasingly being hired to perform new home construction.

The HRGM lawsuit seeks wages and damages in excess of $13,000. A trial date has not been set.

 
 

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