New Orleans City Hall
NEW ORLEANS – A New Orleans-area inspection service provider alleges the city’s Department of Safety and Permits illegally revoked its licenses, according to a lawsuit filed in Louisiana federal court.
Randy Farrell, president of IECI & Associates LLC, filed his lawsuit October 27 in the U.S. District Court for the Eastern District of Louisiana.
Farrell and IECI, in their complaint, contend the city, along with others, deprived them of “property and liberty interests” protected by the U.S. Constitution’s Due Process Clause when it revoked their licenses without prior notice, a hearing, or an opportunity to appeal.
The named defendants include the New Orleans Department of Safety and Permits, which is responsible for the oversight and regulation of third-party inspection services; Director Tammie Jackson; Jefferson Parish; and Danny Ferrara, the director of Building Permits for Jefferson Parish.
“Defendants’ procedures and actions were arbitrary, capricious, and conducted in bad faith, creating a substantial risk of erroneous deprivation and failing to provide constitutionally required safeguards,” the 15-page complaint states.
“Additionally, Defendants’ conduct was arbitrary and oppressive, lacking any rational relationship to a legitimate governmental purpose and constituting an abuse of official power that shocks the conscience, in violation of Complainants’ substantive due process rights.”
According to the filing, Farrell held active commercial, residential, and home improvement contractor licenses issued by the state of Louisiana. IECI operated in various municipalities, including New Orleans and Jefferson Parish.
In January 2023, Farrell alleges Jackson revoked his third-party inspector registration with the city. She alleged various violations of city code, specifically provisions prohibiting companies or individuals from performing inspections on buildings where they have a direct or indirect
financial or professional interest, and prohibiting any company or individual holding a Louisiana contractor’s license from registering as a third-party inspection service provider.
Farrell was the qualifying party for the contractor’s license of Global Technical Solutions LLC. Farrell claims he allowed Global’s State Residential home builder license to non-renew and no longer holds a building, residential, or home improvement contractor’s license, believing this would bring him into compliance with the state code provisions.
In September 2023, Jackson denied Farrell’s request for renewal of his license, citing the previous revocation reasons and adding new concerns, including an investigation into IECI, a tax fraud indictment, and a plea for falsifying documents in another parish.
The following month, Jefferson Parish suspended Farrell’s and IECI’s registration as third-party inspectors for the parish. The reasons for the suspension were charges filed by the U.S. Attorney’s Office on Sept. 27, 2024 and charges filed by the District Attorney on May 21, 2024. The charges alleged conspiracy to file false public documents.
Jackson, in a Nov. 1, 2024 letter to Farrell, requested detailed information on IECI’s operations and oversight of inspections within 60 days, citing “concerns about the integrity of inspections” due to his continued management and recent indictment.
According to his filing, Farrell responded, asserting that the accusations against him and his company were false. He argues the accusations in Jefferson Parish stemmed from a disgruntled homeowner.
“Mr. Farrell explicitly stated in his response that he had abided by the demand not to perform inspections in New Orleans, but continued as the owner of IECI and performed inspections in other municipalities without issue,” the complaint states.
Farrell noted that IECI had been “significantly impacted” by the accusations, losing 16 inspectors and “millions of dollars” despite him not being proven guilty of any charges.
Jackson, in a Feb. 14, 2025 letter, notified Farrell that his response did not satisfy her inquiry and therefore any licenses associated with IECI would be revoked effective Feb. 28.
“Defendant’s conduct was willful, wanton, and in reckless disregard of Complainants’ clearly established rights, entitling Complainants to compensatory and punitive damages pursuant to 42 U.S.C. §1983,” Farrell wrote in his complaint.
According to his filing, he has been “selectively singled out.”
He alleges the city of New Orleans has entered into a lucrative contract with Henry Consulting, where two partners, Keldrick Smoot and Chris Walker, both hold general contractor licenses and perform work in New Orleans – despite his own license being revoked for the same reason.
Farrell also alleges the city of New Orleans allows individuals with a criminal conviction to maintain an inspector’s license. He points to Kenneth Conerly, who currently works for Kahn Inspections Services LLC, providing third-party inspections.
“These actions demonstrate a pattern of unequal treatment and discriminatory enforcement of regulations against Mr. Farrell and IECI in violation of equal protection principles,” the complaint states.
“Defendants intentionally and purposefully discriminated against Complainants. Similarly situated individuals were treated more favorably under substantially identical circumstances.”
Farrell seeks a declaration that the revocations and suspensions of his licenses were unlawful; an order reinstating his licenses; an injunction prohibiting the defendants from further “selective” enforcement” against him; compensatory damages for lost business, reputation, and emotional distress; punitive damages; and attorneys’ fees and costs.
Bivalacqua, Gelé + Ellis in New Orleans is representing Farrell in the action.
