Nearly $45 Million Lawsuit Filed Against California Foundation by Wired Works LLC Over Alleged Breach of Power Development Agreement

California contractors say the foundation accepted the completed work, refused to pay, made false statements to utility officials, and then terminated an agreement

PALM DESERT, Calif., April 30, 2026 /PRNewswire/ -- A civil lawsuit seeking damages between $40-$45 million has been filed in Riverside County Superior Court against the Southern California based H.N. and Frances C. Berger Foundation. Brought by four California-based contractors and infrastructure professionals, the complaint alleges breach of contract, fraud, and negligence arising from a large-scale power and infrastructure development project.

The plaintiffs are seeking compensatory damages, restitution of approximately $300,000 in direct expenditures, lost construction profits estimated between $40 million and $45 million, lost smart grid revenues projected at approximately $10 million annually, and punitive damages.  A jury trial has been requested.  The lawsuit is filed under Case No. CVPS2602316 in Riverside County Superior Court.

According to the complaint, beginning in early 2024, plaintiffs Wired Works LLC, Statewide Services, Inc., Tony Fimbres, and Carlos Martinez committed more than 5,000 hours of labor and approximately $300,000 in privately-funded expenditures to secure reliable electrical capacity for the Foundation's 1,200-acre development site in Thousand Palms, CA. The project contemplated a 250- to 300-bed hospital and Level 1 Trauma Center in partnership with Eisenhower Health, along with hotels, entertainment, and residential components.

That work resulted in formal approval from the Imperial Irrigation District (IID) for a 100-megawatt substation, an approval the plaintiffs allege had been unresolved for decades. The complaint contends this approval advanced the development potential of the site.

The plaintiffs allege that following a leadership transition within the Foundation, the agreement was terminated without payment, and that the Foundation made inaccurate and damaging statements to IID officials and others in the development community. The plaintiffs allege these statements constitute fraud and negligent interference under California law.

"Our clients allege that they delivered a result that had eluded this project for decades, and they did so at their own expense," said James G. Bohm, Bohm Wildish & Matsen, LLP, counsel for the plaintiffs.  "The lawsuit asserts that they secured the approvals that made this project viable. Instead of honoring its commitments, the Foundation refused payment and then made statements that damaged our clients' reputations. This case is about accountability and fairness."

Large-scale development projects across California frequently rely on contractors, infrastructure specialists, and power procurement professionals who commit significant resources under informal or semi-formal agreements during early project phases, before formal contracts are executed. The Wired Works case reflects the legal and financial exposure that can arise when such arrangements break down.

Securing adequate electrical capacity for mixed-use developments incorporating healthcare, hospitality, and residential components is a recognized challenge for development projects throughout California. The 100-megawatt substation approval at the center of this dispute reflects a level of utility coordination that can require years of work and substantial private investment to achieve.

The inclusion of smart grid revenues as a damage category reflects California's evolving infrastructure landscape, where energy systems carry revenue-generating potential through grid services, demand response, and distributed energy resources.

According to public documents, the H.N. and Frances C. Berger Foundation holds total assets of at least $450 million. The private foundation based in Palm Desert, CA is funded by real estate and banking wealth.

About Wired Works LLC

Wired Works LLC delivers strategic power and infrastructure solutions for large-scale real estate development, including mixed-use communities, healthcare campuses, and hospitality projects. The firm specializes in securing electrical capacity, coordinating with utilities and regulatory agencies, and managing end-to-end planning and execution. Wired Works partners with property owners, municipalities, and utility providers to bring complex developments online with tailored, site-specific solutions. The company serves local and regional markets and is a minority-owned business committed to expanding access and opportunity in large-scale development.

About Bohm Wildish & Matsen, LLP

Bohm Wildish & Matsen, LLP is a California-based law firm focused on complex business litigation. The firm represents clients in high-stakes commercial disputes, partnership conflicts, and large-scale development matters, including cases involving significant financial exposure tied to real estate and infrastructure. Its litigation team works in coordination with experienced business transactions attorneys to support matters involving complex deal structures and development agreements.

SOURCE Wired Works LLC