Insurance
Home›Insurance›Industry & Deals›Berkley sues Volunteers of America over $2M unpaid ren…
Berkley sues Volunteers of America over $2M unpaid renovation work
The dispute centers on a Manhattan project at 305 West 97th Street that Berkley says it completed after it took over as surety under a 2022 agreement.
Insurance Business reports that Berkley Insurance Company sued Volunteers of America and three related entities in Manhattan federal court on July 21, 2026, alleging they failed to pay for construction work Berkley completed after stepping in as the project surety.
The complaint relates to a building known as Rose House at 305 West 97th Street, owned by 305 West 97th Street Associates, L.P., and managed by Volunteers of America – Greater New York, Inc. In 2018, the owner hired FG-PH Corp. for a renovation and Berkley issued the required performance and payment bonds.
According to the filing, the original contract was terminated for cause and, on or about March 1, 2022, Berkley and the owner signed a Takeover Agreement under which Berkley agreed to complete the project itself. Berkley alleges the agreed scope of work, plus additional extra work, was completed on or about June 22, 2025, but the defendants refused to pay the sum due.
Berkley is pursuing claims for breach of contract, quantum meruit, and unjust enrichment, seeking a joint and several judgment in excess of $2.0 million plus interest. The suit also names Volunteers of America, Inc., and SRO West 97th Street, Inc., and the outlet notes the allegations have not been tested in court.