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Power Providers Face Breach of Contract Lawsuit Following Storm

Posted on Jan 01, 2016

Following Hurricane Sandy, two residents of Long Island, New York, filed a lawsuit against the main electricity providers in the area. They alleged that the providers committed gross negligence, breach of contract, and fraud. The lawsuit names Long Island Power Authority and its partner National Grid as defendants. The two individuals bringing the lawsuit have requested unspecified damages.

Ken Mollins, the attorney representing the plaintiffs, said the claim was registered as a class-action suit. This will allow other Long Island residents to join in the suit. The massive storm that struck the Northeast region of the United States caused massive power outages in Long Island. The plaintiffs alleged that the power companies were not prepared for the storm in the manner that they should have been.

In response to the lawsuit filing, a spokesman for Long Island Power Authority told reporters that the organization’s focus at that time was on restoring power to the area. National Grid released a similar statement, noting that it was “cooperating with local officials and relief agencies.” As of November 14th, Long Island Power Authority claimed that 98 percent of its 1.1 million customers who lost power had it back. That still left 15,000 customers without power more than two weeks after the storm.

After the disastrous storm and massive power outages, Long Island Power Authority’s chief operating officer, Mike Hervey, issued his resignation effective at the end of 2012. New York Governor Andrew Cuomo released a statement publicly criticizing the organization, adding that “a new system is needed” in New York. Both Hervey’s resignation and Cuomo’s criticism occurred on the same day the lawsuit was filed.

Contact a New York breach of contract attorney today at (888) 497-3410 for more information about breach of contract and other business litigation matters.

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