Legal
Burns & McDonnell Targeted Over Alleged Broken Promise to Use MWBE Firms
Lawsuit argues design-build firm kept work for itself under a $60M Seattle utility contract
Cybersecurity firm certified to work on a $60M contract from Seattle electric utility City Light filed suit against Burns & McDonnell in Washington state court for allegedly "abusing" W/MBE laws to retain work for itself rather than award it to qualified subcontractors.
A cybersecurity firm that said it was certified to work on a $60-million contract from electric utility Seattle City Light filed suit Jan. 12 in King County, Wash., superior court against design-build firm Burns & McDonnell Inc., for allegedly "abusing" the city's women- and minority-owned (WMBE) business contracting requirements by keeping the work for itself rather than awarding it qualified subcontractors.
Certus Cybersecurity Systems' complaint alleges that 1898 & Co.—Burns & McDonnell's technology and security consulting unit—stated that it would engage in “true partnerships” in a "seamless team" with the WMBE firms working with it on an on-call utility technology roadmap.
The lawsuit notes that in early January 2023, the city recommended to California-based Certus that it meet with Burns & McDonnell to help the firm win the contract, which it did in late March 2023.
Once the contract was awarded, however, the complaint alleges that Burns & McDonnell "reneged on its commitments and has not included those businesses in any work."
The lawsuit cites four instances in arguing that Burns & McDonnell representatives "made false and defamatory statements and used unfair business practices" in asserting to city officials that none of the approved subcontractors had capabilities to perform the specific task orders, claims Certus. The company had notable related experience in each instance, it claims..
As a result, Certus states that "staff that had been hired to perform that work either resigned or were terminated because there was insufficient work for them."
In a statement to ENR, Burns & McDonnell—referring to Certus as a "potential subcontractor"—says, "the lawsuit does not accurately reflect the nature of the relationship between" the two firms.
"Burns & McDonnell has a long history of commitment to MBE- and WBE-owned businesses and that commitment continues," the firm's statement added. "We look forward to the opportunity to tell our story about the nature of our relationship with Certus."
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