State settles PCH fight
The WA Government has reached a confidential settlement over a $300 million Perth Children's Hospital lawsuit.
The WA government and construction giant John Holland have settled their long-running dispute over the Perth Children's Hospital (PCH), after the builder launched legal action in 2019 “to recoup hundreds of millions in outstanding payments from the WA government”.
John Holland was seeking more than $300 million in compensation from the state government for changes to the project, after the $1.2 billion hospital opened three years behind its initial schedule.
The Perth Children's Hospital build was plagued by problems, including lead and asbestos contamination and two Legionella disease scares.
At one point, both parties sought damages from each other, with the government seeking compensation for the delays in reaching practical completion of the hospital.
A WA government spokesperson says the state is proud of the Perth Children's Hospital.
“In the interest of the people of Western Australia, the state is pleased to confirm it has reached a settlement with John Holland which will remain confidential as per the conditions of settlement,” their statement said.
“The state looks forward to John Holland tendering for future major projects and creating jobs for Western Australians.”
John Holland issued a statement saying it had reached a “mutually beneficial settlement”.
“John Holland is proud of the world-class facility it developed with the WA government and looks forward to future opportunities in Western Australia,” the John Holland spokesperson said.