A high-stakes legal showdown over $1.1 million in unpaid contractor fees has ended unexpectedly, as a Delaware-based plumbing and HVAC firm withdrew its federal lawsuit against Liberty Mutual and general contractor Dobco Inc.. The dispute, tied to a U.S. Army Corps of Engineers elementary school project, was abandoned in a brief court filing on Monday, with no explanation provided.
A $48M Bond Battle Ends in Silence
The case revolved around Ralph G. Degli Obizzi & Sons Inc., a subcontractor hired for the Dover Air Force Base elementary school construction. The company filed suit in July 2023, alleging that Dobco and Liberty Mutual failed to honor their obligations under a $48 million performance bond—a financial safeguard meant to ensure subcontractors receive payment for labor and materials.
Despite months of litigation, Degli Obizzi & Sons suddenly dismissed all claims, agreeing that each party would cover its own legal fees. The move leaves unanswered questions about whether a behind-the-scenes settlement or strategic retreat prompted the withdrawal.
