Another Big Dig Settlement

BOSTON (AP) ― One of the Big Dig's largest contractors, Modern Continental Construction Inc., has reached a settlement with the state that includes $21 million related to a fatal tunnel ceiling collapse, and also ends contract disputes relating to leaks in the massive highway project, the state Attorney General's Office announced Friday.

The agreement means the company will not perform any more work on the $15 billion Big Dig, the most expensive highway project in U.S. history. The project, which replaced an elevated highway in the heart of Boston with a series of tunnels, ramps and bridges, has been plagued by cost overruns, leaks, falling debris, and other problems linked to faulty construction. Under the deal, about $2 million in performance bonds on Modern's contracts will be extended for six years to cover any undiscovered defects in its work.

Modern Continental has filed for bankruptcy, so the agreement must be approved by a bankruptcy court.

Attorney General Martha Coakley said the settlement "marks another step" toward settling the outstanding claims related to Big Dig tunnel problems, and will save the state hundreds of thousands of dollars in litigation costs.

Scott Drake talks with Brad Henry... the attorney for the De Valle Family