Settlement talks proposed in builder-homeowner’s suits

Diana Sahagun

Thursday, Feb. 24, 2000 | 10:42 a.m.

North Las Vegas homeowner Russ Lewis will go to the bargaining table with Falcon Homes to try to settle charges of faulty construction.

The state Contractor's Board voted Wednesday to continue the disciplinary hearing against Falcon President Fred Ahlstrom for 60 days after attorneys agreed to discuss a settlement.

The postponement could speed up a resolution of a web of lawsuits between Lewis and the builder since he first approached Falcon in 1994 about defects in his home.

After Lewis charged Falcon with using subgrade materials and allowing a sill plate, the base on which the house frame sits, to hang off the foundation, the two have been in a legal duel. Lewis sued Falcon over construction defects, and Falcon sued Lewis for libel and slander.

Falcon attorney Brian Terry said the settlement talks, which will use independent mediators, will include both lawsuits and the Contractors Board's complaint.

"We need to be able to resolve the concerns with the Lewis home, and we won't be able to resolve one without the other," Terry said. "We need to get everyone to the table."

Terry said the settlement talks will result in a "global resolution" of the faulty construction matter.

Falcon sued Lewis for libel and slander in 1994 after he posted signs around his property and organized efforts with his neighbors to warn prospective buyers of alleged shoddy construction. Lewis countered with a construction-defect suit.

Lewis said he realized that without a settlement, even if the board had considered the disciplinary matter Wednesday, he would still have to face the lawsuits.

"I'm pacified," Lewis said after the hearing. "I hope the lawyers will sit down and do it correctly. I'll be saying my prayers it will all be over soon. Yesterday wasn't soon enough for me."

Although his complaint against Falcon has been postponed, Lewis said he still wants the matter to be acted upon, regardless of how the settlement talks end.

After 30 days the board will review the case to determine if progress has been made. After 60 days, if no settlement is reached, the board will reconsider the charges.

This won't be Falcon's first settlement offer. In 1996 Lewis received an offer that promised the company would drop its lawsuit that sought more then $70,000 if Lewis agreed to end all complaints against the company. Lewis at the time said his "hand hovered" over the settlement offer but he just couldn't sign it and keep his honor.