True North sues companies involved in downtown arena construction, says natural gas system violates code

Posted on October 10, 2024 by Peggy

The owner and operator of Winnipeg’s Canada Life Centre is suing several companies, saying the downtown arena was fitted with an improper gas line during its construction two decades ago.

True North Sports & Entertainment is seeking damages from more than a half dozen companies involved in the construction, after issues with the arena’s gas line were discovered in July, according to a statement of claim filed with Manitoba Court of King’s Bench on Sept. 27.

The 10-psi (pounds per square inch) natural gas distribution system, installed during the building’s construction, violates gas code regulations and needs correcting because it exceeds the maximum allowable pressure in an assembly building, the suit says.

There is also a mix of both threaded and welded pipe in the building, but the gas code requires welded pipe for a 10-psi natural gas distribution system, True North claims.

Construction of the 444,000-square-foot, 15,000-seat arena — initially called the MTS Centre — started on April 16, 2003.

In 2001, True North entered an agreement with the Denver-based architecture company Sink Combs Dethlefs — which in 2017 was acquired by and merged with Perkins&Will, one of the defendants named in the suit — to have the company provide complete design services for the arena, the suit says.

A term of that agreement says SCD and its subconsultants would be jointly held liable for any negligence, errors or omissions in their work on Canada Life Centre, according to the lawsuit.

True North entered an interim construction agreement in 2002 with the Alberta-based PCL Construction — also named as a defendant — which would build the arena, with SCD acting as the design consultant, the statement of claim says.

The gas line they used in the building breached their agreements with True North and other subcontractors hired to do the job, True North argues in the suit.

A sign that says 'MTS centre.' — Construction of the 444,000-square-foot downtown arena, initially called the MTS Centre, started on April 16, 2003. (Jaison Empson/CBC)

True North was told to complete remedial work to bring the gas system into compliance with the code and has begun that work, but will suffer loss and damages in the process, according to its statement of claim.

“In over 20 years of inspection and operation there has been no indication of risk to patrons and employees” due to the gas system issue, a spokesperson for the company said in a statement emailed to CBC on Wednesday.

The claim was filed by the company “in order to preserve its rights under the Limitations Act,” which sets out limitation periods for civil claims, the spokesperson said, adding that since the matter is before the courts, True North will make no further comment at this time.

The statement of claim also accuses PCL Construction of failing to properly supervise, check or inspect the work of its subcontractors to ensure it was done in accordance with the gas code and other regulations.

A term in the agreement says PCL is responsible for any costs, expenses and damages if its construction work didn’t comply with any law or regulation, the suit says.

True North also alleges that SCD and its subcontractors involved in the construction made negligent and/or reckless misrepresentations about their work on the project.

The lawsuit says True North is seeking costs, with interest, and damages, but does not give a specific figure.

In an emailed statement on Wednesday, PCL said “a deficiency from the original construction of the Canada Life Centre was identified” during a recent renovation.

“All parties are working collaboratively towards resolving any potential issue,” the statement said.

Perkins&Will did not respond to CBC’s requests for comment prior to publication.