ST. LOUIS COUNTY — A Chesterfield contractor has agreed to drop its lawsuits against McBride Homes in which the homebuilder was accused of filing fraudulent deed records across the region.
Builder’s Bloc and McBride Homes said in a joint statement Tuesday that they had reached a settlement that resolved “all outstanding matters†between the two companies.
Details of the settlement were not disclosed, and both companies declined to comment further.
“We deeply value our 75-year relationship with Builder’s Bloc and we are proud of the homes we’ve built together for the people of ÃÛÑ¿´«Ã½,†McBride CEO Jake Eilermann said in the statement. “We are optimistic about the future for both Builder’s Bloc and McBride Homes, and look forward to seeing the positive impact each will continue to make in our community.â€
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The settlement between McBride and Builder’s Bloc comes one day before the companies were to finish their trial in St. Charles County in which the contractor alleged the homebuilder fraudulently filed dozens of false real estate records over the past year. Builder’s Bloc had filed similar lawsuits in two other counties.
The judge in that case had not yet made a determination about the real estate records.
Online court records did not show the suits’ dismissals as of Tuesday afternoon.
Builder’s Bloc alleged the filings were part of an effort by McBride to stiff the contractor of over $10 million for unpaid work. But McBride has long said that it followed the law and that it would take “all necessary steps†to protect homeowners.
Builder’s Bloc claimed in court documents that McBride filed the sale notices with closing sale dates that the builder either didn’t share with the contractor or were different than the dates McBride provided to Builder’s Bloc. Notices of sale affect the amount of time Builder’s Bloc would legally have to file liens to seek payment of unpaid work.
Last month, McBride paid more than $10 million to Builder’s Bloc to settle mechanic’s liens the contractor filed against the company and homeowners related to the real estate records.
The homebuilder had alleged that the liens and claims of fraudulent records were retaliation by Builder’s Bloc after McBride fired the contractor early this year.
McBride sued Builder’s Bloc for $13 million over allegations the contractor caused numerous delays at its job sites. That lawsuit was later moved to arbitration.
Builder’s Bloc and McBride, one of the largest homebuilders in the region, built subdivisions across the region together for years and were once part of the same company.
“Builder’s Bloc is excited about our future and the opportunities ahead,†Kevin Deptula, president of Builder’s Bloc, said in the statement. “We appreciate the history we’ve shared with McBride and are proud of the work our teams have done together for nearly eight decades.â€
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