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Illinois firm accuses MBTA of not paying for locomotive work

By Nicole Dungca Globe Staff 

An Illinois company has sued the Massachusetts Bay Transportation Authority for breach of contract, alleging that the agency has not paid $232,258 for maintenance related to seven locomotives the T leased from the company to use on its commuter rail service.

The MBTA leased seven locomotives from the Illinois-based Rail World Locomotive Leasing in February 2015, and the company says it completed about $421,694 worth of maintenance work on the locomotives, according to the lawsuit filed in US District Court on Tuesday.

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Rail World later offered to reduce the bill to $400,327, but the T paid only $189,435 to the company, according to the lawsuit. The suit says the MBTA’s refusal to pay the entirety of the reduced amount means that the agency still owes the company $232,258 for the original bill.

Daniel Rosenthal, the attorney for Rail World, asked for a jury trial in the suit.

The locomotives mentioned in the suit were leased in the middle of a record-breaking winter in Boston, when the MBTA and its commuter rail operator, Keolis Commuter Services, struggled to provide even basic levels of service.

Joe Pesaturo, an MBTA spokesman, said: “The MBTA has not been served with this complaint, but is confident all current contractual obligations have been fulfilled.”

Rosenthal, the attorney for Rail World, could not be reached for comment.


Nicole Dungca can be reached at nicole.dungca@globe.com
Follow her on Twitter @ndungca.