The Minot Public School District has settled a lawsuit filed by a company over unpaid cleanup expenses resulting from the 2011 Souris River flood.
The case was set to go to trial Monday in federal court, but the two sides earlier reached a $950,000 settlement. School District Business Manager Scott Moum says the money will come from the district’s reserve fund.
The school district hired the ServPro company to clean up flood-damaged schools. The Federal Emergency Management Agency reimbursed all but $1.9 million of the expense.
The school district contended Servpro had agreed not to charge anything over and above what FEMA paid. ServPro disputed that.
A federal judge last September ruled that the contract had been breached, but he didn’t rule on resulting damages.
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