MANATEE -- Sarasota's Benderson Development Co. has settled a lawsuit with the dredging company involved in work on Nathan Benderson Park in 2012.
The lawsuit claimed more than $1 million for unpaid work.
Benderson settled with Kansas City-based Dredge America for $395,000, said Dredge America lawyer Bruce Moothart.
Dredge America contracted with Benderson in May 2012 for dredging work on the lake. The original amount for the work, according to the lawsuit, was more than $1.6 million.
In the lawsuit filed Jan. 28, Dredge America alleged Benderson still owed $530,000 for the job and sought an additional $500,000 for unexpected manpower and resources needed to finish the project.
The company scooped 317,573 cubic yards of material out of the lake to make it fit international rowing standards for the World Rowing Championship scheduled for fall 2017 at the public park.
Moothart said his client settled for an amount lower than originally asked for a few reasons.
"Because of the practicalities and expenses and cost of litigation," he said.
It really boiled down to the difference in resources between the two companies.
"Benderson is a big company and Dredge America is not," Moothart said.
Per its contract with Sarasota County, Benderson paid Dredge America and other subcontractors directly.
Sarasota County reimbursed Benderson based on approved payment invoices and other documentation submitted by Benderson.
Benderson made some payments directly to Dredge America, but the company claimed Benderson kept some money from Sarasota County instead of paying them.
"It is Dredge's further understanding, upon information and belief, that Sarasota County has already disbursed to Benderson significant funds to be distributed to Dredge in connection with work Dredge has completed but for which Dredge has not been paid," the lawsuit reads.
Benderson executives previously told the Bradenton Herald some work was not performed or was incomplete and the suit was baseless. Benderson representatives were not available for comment on the settlement Thursday.
Janelle O'Dea, Herald business reporter, can be reached at 941-745-7095. Follow her on Twitter @jayohday.