Reno-based regional gaming operator Monarch Casino and Resort has stated that a lawsuit filed against the firm by its general contractor, PCL Construction Services, is an effort to deflect attention from its own failings.
The firm, which through its subsidiaries, owns and operates Atlantis Casino Resort Spa in Reno, Nevada, and Monarch Casino Black Hawk in Black Hawk, Colorado, has been undergoing an extensive transformation of the latter.
In February John Farahi, co-chairman and chief executive officer of Monarch, explained that PCL had informed that “the new expanded casino, hotel tower, restaurants and retail areas will be completed in the third quarter of 2019 and that the upgraded amenities in the existing casino will be completed in the fourth quarter of 2019”.
Sticking to the same timeline in April, it was delayed in Monarch’s latest financial report delivered in July, with a portion of phase one then slated for completion in late Q3 or early Q4, as the firm now stipulates 2020’s first and second quarters for finalisation.
Monarch states that it will respond to the lawsuit with “affirmative defenses as well as counterclaims against PCL which will detail their numerous contract and performance breaches”.
The firm also expresses a belief that it will continue to work with PCL amid the possibility of ongoing litigation, to ensure that the work on its Black Hawk entity is completed.
The full statement released by Monarch Casino and Resort can be found in full below:
“Since engaging PCL as general contractor at Monarch Casino Black Hawk, we have worked tirelessly to move the construction project forward. While Monarch has been frustrated with PCL’s numerous construction delays and cost increases, we have remained focused on the transformation of Monarch Casino Black Hawk.
“Monarch believes that PCL’s lawsuit is principally an effort to deflect attention from their failures to deliver the completed project in a timely and cost appropriate manner.
“Unfortunately, we must now respond to PCL’s lawsuit with our affirmative defenses as well as counterclaims against PCL which will detail their numerous contract and performance breaches. That said, we will continue to work with PCL to complete our new Monarch Casino Resort Spa Black Hawk.
“Given this lawsuit, the increasingly adversarial tone of communication from PCL, and our understanding of recent discussions regarding project delivery, we now believe that our expansion project – the new Monarch Casino Resort Spa Black Hawk – including the expanded casino, restaurants and certain public areas – should be fully open in the first quarter of 2020. The remaining remodelling of some areas of the existing casino is expected to be completed in the second quarter of 2020.
“Our disappointment with the ongoing construction delays at the expanded Monarch Casino Black Hawk is palpable. Importantly, other than a delay of the finished project, the customer experience should not be impacted at the property, now or in the future.
“Given the terrific guest response to the property’s enhancements introduced to date, our entire team knows that the fully transformed Monarch Casino Resort Spa Black Hawk will be a game changer for this exciting and vibrant market.
“While PCL’s performance has delayed our opening from our earlier announced dates, it will only increase the excitement of our team to deliver Black Hawk’s best-in-class resort and hospitality destination for visitors from across the Denver metropolitan area.”