SRC Constr. Corp of Monroe v. Atl. City Housing Auth.
2013 U.S. Dist. LEXIS 47301 (D.N.J. April 2, 2013)

The U.S. District Court for the District of New Jersey denied a defendant architect’s motion for summary judgment, holding that the economic loss doctrine applies only to bar tort claims between parties to a contract.

SAK Construction of CA, L.P. v. PSC Industrial Outsourcing, L.P.
2012 U.S. Dist LEXIS 123473 (E.D. Mo. 2012)

This action arose out of the Los Coyotes Water Reclamation Plant Interceptor Project in Los Angeles County, California. General Contractor, SAK Construction of CA, L.P. (“SAK”) was retained by the County to perform sewer rehabilitation work. SAK subcontracted with PSC Industrial Outsourcing, L.P. (“PSC”) to perform the inspection, cleaning, waste removal and disposal work on the Project. The Project consisted of rehabilitating 16 stretches or “shots” of pipeline.

Maisel v. Erickson Construction, Inc.
2012 U.S. Dist. LEXIS 108726 (D. Colo. August 3, 2012)

Plaintiff contracted with Charles Cunniffe & Assoc. Architects (“CCA”) for architectural services. Plaintiff separately contracted with Erickson Construction, Inc. (“Erickson”) for construction and general contractor services. No contract existed between CCA and Erickson.

Plaintiff sued both CCA and Erickson for various defects and design deficiencies, and asserted claims for breach of contract, breached of implied warranties, negligence and vicarious liability. Erickson cross-claimed against CCA for negligence, breach of contract (on a third-party beneficiary theory), indemnification and contribution.

Genesee/Wyoming YMCA v. Bovis Lend Lease LMB, Inc
2012 N.Y. App. Div. LEXIS 6358(N.Y. App. Div. Sept. 28, 2012)

The Genesee/Wyoming YMCA (“YMCA”) contracted with Bovis Lend Lease LMB, Inc. (“Bovis”) and Thomas Associates Architects & Engineers (“Thomas”) for the construction of a new swimming complex. Bovis was the construction manager for the project, and Thomas was the architect. Shortly after the project was completed, defects were discovered in the roof and insulation system. An inspection indicated that the roof and insulation system were defectively designed and that improper materials had been selected.

LeBlanc v. Logan Hilton J.V.
463 Mass. 316 (2012)

The Massachusetts Supreme Court ruled where there is evidence that design professionals had actual knowledge of deficiencies in the installation of electrical switchgear but failed to fulfill their contractual duties to report the deficiencies to the property owner, the evidence of is sufficient to support a finding of professional negligence without an expert opinion.

Hovas Constr., Inc. v. Western Line Consolidated School Dist.
2012 Miss. App. LEXIS 556 (September 14, 2012)

The Board of Trustees of Western Line Consolidated School District entered into a $450,000 contract with Hovas Construction, Inc. for an addition and renovation work at the O’Bannon High School in Washington County, Mississippi. The contract required that the project achieve substantial completion by June 6, 2008 and included a project delay liquidated damages provision providing for damages of $500 per day. The project achieved substantial completion on July 15, 2008, thirty-nine days late, and the School District withheld $19,500 from Hovas as substantial completion liquidated damages. Hovas filed suit in the Circuit Court of Washington County. The Circuit Court concluded the $19,500 withheld was appropriate because the liquidated damage provision was enforceable and that the School District suffered actual damages.

Martin K. Eby Constr. Co., Inc. v. OneBeacon Ins. Co.,  
2012 U.S. Dist. LEXIS 131875 (D. Kan. Sept. 17, 2012)

Eby was the contractor for a project to build a water pipeline in Texas. KBR was the construction manager on the project. In the Indemnity Provision of the water pipeline project contract:

Eby agree[d] to indemnify and hold harmless KBR from and against any damages, claims, demands, suits, and judgment costs including attorney’s fees and expenses for or on account of damage to property directly or indirectly arising from or caused in connection with the work by Eby.”

Celanese, the owner of a methanol pipeline in the area near the project, sued Eby and KBR for negligence after the methanol pipeline leaked during the construction of the water pipeline. A jury determined that KBR was not liable to Celanese and that Eby’s actions caused the damage. But, KBR incurred attorney’s fees defending against the suit and sought to recover those fees from Eby under the Indemnity Provision.

GII Industries, Inc. v. New York Dep’t of Transp.
2011 Bankr. LEXIS 3663 (Bankr. E.D.N.Y. Sept. 30, 2011)

The Bankruptcy Court for the Eastern District of New York considered the appropriate method for calculating a contractor’s inefficiency damages and whether the contractor was entitled to prejudgment interest in connection with a highway reconstruction project. The Court held that the total cost method was the appropriate manner by which to calculate damages and that the contractor was entitled to prejudgment interest running from the date final payment was due.

Josef Gartner USA LP v. Consigli Construction Co., Inc.
2011 U.S. Dist. LEXIS 62492 (D. Mass. June 10, 2011)

Consigli Construction and J. F. White Contracting, as joint venturers and general contractors, contracted with Josef Gartner USA for the design, fabrication, and installation of a curtain wall at the Cambridge Public Library. This subcontract provided for periodic payments to Gartner, contingent upon Gartner’s submission of evidence to Consigli/JFW that all known indebtedness connected with Gartner’s work had been satisfied. The subcontract also provided that Gartner would be entitled to additional compensation due to delays and out-of-sequence work.

Larry Snyder & Co. v. Miller
648 F.3d 1156 (10th Cir. 2011)

The Tenth Circuit held a repair warranty in a subcontract (the “repair clause”) limited the subcontractor’s repair obligations for failed paving work notwithstanding the flow-through of the prime contract’s “full satisfaction” clause.