DuBaldo Electric, LLC v. Montagno Construction, Inc.
119 Conn. App. 423; 2010 Conn. App. LEXIS 55 (Conn. App. Feb. 23, 2010)

Subcontractor, DuBaldo Electric contracted with general contractor, Montagno Construction to perform electrical work in connection with the renovation of retail space leased by Burlington Coat Factory.
DuBaldo had estimated that it could complete the work in 3200 man hours over the scheduled ten week period. Issuance of the permit required for DuBaldo to commence its electrical work was delayed three weeks due to deficiencies in Burlington’s architectural design and understaffing at the City electrical inspector’s office. Unable to perform the electrical work without a permit, DuBaldo fell approximately three weeks behind. Nevertheless, Montagno refused to update the schedule. To make up for lost time, DuBaldo agreed to work 7 days a week with overtime. In addition, Montagno hired Globe Electric to work along side DuBaldo, and deducted from DuBaldo’s account the amount it paid to Globe for work performed within DuBaldo’s scope.

Flagstaff Affordable Housing LP v. Design Alliance, Inc.
223 P.3d 664, 2010 Ariz. LEXIS 11 (Ariz. Feb. 12, 2010)

In 1995, the Owner of a low income housing project, Flagstaff Affordable Housing Limited Partnership contracted with Design Alliance, Inc. (“Architect”) for the design of the Project. The design had to comply with the Federal Fair Housing Act’s (“FFHA”)accessibility guidelines. The Owner also contracted with Butte Construction Company (“Contractor”) for the construction of the apartments. The Project was completed in 1996.

S&B/BIBB Hines PB3 Joint Venture v. Progress Energy Florida, Inc.
2010 U.S. App. LEXIS 2875 (11th Cir. Feb. 11, 2010)

S&B/BIBB Hines PB3 Joint Venture, S&B Engineers and Contractors, LTD (“S&B) agreed to perform engineering, procurement and construction on a fixed-price basis (the “Contract”) for two electric generating plants in Polk County for the project owner and defendant, Project Energy Florida, Inc. (“Project Energy”). During the course of construction, four hurricanes struck Polk County resulting in a shortage of labor and materials and a corresponding increase in the cost of construction for S&B. S&B sought approximately $40 million in additional compensation as a result of this extraordinary event. S&B’s claim for additional compensation was denied by Project Energy and S&B filed suit. The district court dismissed the majority of S&B’s breach of contract and other claims on a Rule 12(b)(6) motion holding that the fixed price Contract precluded additional compensation beyond the Contract price.

American Manufacturers Mutual Insurance Co. v. Payton Lane Nursing Home, Inc.
2010 U.S. Dist. LEXIS 8537 (E.D.N.Y. Feb. 2, 2010)

The United States District Court for the Eastern District of New York (“EDNY”) recently considered whether a surety could maintain a breach of contract claim against a construction project owner’s architect based upon the architect’s alleged wrongful certification of payments occurring prior to the execution of a takeover agreement. In rendering its opinion, the EDNY concluded that expert opinions were not required where the claim sounded in contract, rather than in tort. The EDNY also found that summary judgment was defeated because there remained genuine issues of material fact as to the extent of the architect’s scope of construction phase services and whether the architect failed to satisfy its construction phase service obligations.

Addicks Services, Inc., Appellant v. GGP-Bridgeland, LP
2010 U.S. App. LEXIS 2623 (5th Cir. Feb. 8, 2010)

Plaintiff, Addicks Services, Inc. (“Addicks”) sought damages for extra work and delay costs incurred while performing land improvement work for a residential development in Texas. Addicks’ claims were denied by the district court because Addicks executed monthly waivers and releases to receive progress payments which waived their claims for extra work and delay costs.

Goldsmith Assoc., Inc. v. Del Frisco’s of Philadelphia, Inc.
2009 U.S. Dist. LEXIS 92193 (E.D. Pa. Oct. 1, 2009)

Grasso Holding Acquisition, Inc. (“Grasso”) entered into a lease with Del-Frisco’s of Philadelphia (“Del-Frisco’s”) to occupy and renovate the bottom floors of the Packard Building in Philadelphia, PA for use as a restaurant. Building owners, Chest-Pac Associates, Inc. (“Chest-Pac”) and Grasso, reserved the right to review and approve the designs for the renovation. Once the lease expired, the renovation improvements were to become the sole property of Chest-Pac and Grasso. After negotiating the lease, Del-Frisco’s contracted with Lorient, LLC to serve as the general contractor for the renovations. Lorient then subcontracted with Plaintiff, Goldsmith Associates, Inc. (“Goldsmith”) to provide the electrical work. Goldsmith submitted invoices in the amount of $1,835,110.87 but was allegedly only paid $734,879.30. Goldsmith commenced an action against Del Frisco’s, Chest-Pac and Grasso, asserting a claim of unjust enrichment, and seeking to recover $1,100,231.57 in unpaid work. The defendants moved to dismiss the Complaint as legally insufficient.

Charter Foods Inc. v. Derek Engineering of Ohio, Inc.
2009 U.S. App. LEXIS 115477 (E.D. KY. Dec. 11, 2009)

The District Court for the Eastern District of Kentucky held that a general contractor, who had performed excavation work on a site in accordance with the plans and specifications, could not be held liable for breach of contract as a matter of law, but could potentially be held liable to the owner for negligence if the contractor breached the duty of care it owed the owner.

Federal Insurance Co. v. Philotimo, Inc.
2009 U.S. Dist. Lexis 108105 (W.D.P.A. Nov. 19, 2009)

Homeowner hired defendant to inspect and clean its fireplace and chimney after observing chunks of mortar falling into the fireplace. Homeowner showed defendant’s technicians the fallen mortar. The technicians cleaned and visually inspected the chimney and reported to homeowner that it “looked good.” Thereafter, an extensive fire swept through the house causing over $400,000 in damage.
Following the fire, homeowner’s insurer commissioned an inspection which revealed numerous signs of damage and disrepair to the chimney that suggested defendant’s technicians should have instructed homeowner not to use fireplace and chimney until repairs were made.

Atlantic City Associates LLC v. Carter & Burgess Consultants, Inc.
2008 U.S. Dist. LEXIS 93684 (D.N.J. Nov. 13, 2008)

The United States District Court for the District of New Jersey was asked to resolve the effect of liability limiting provisions on an architect’s indemnity obligations to an owner under a professional services agreement. Determining that the consequential damages provision and the indemnification provision contained in the agreement could be harmonized, the Court held that the architect would only be liable for indemnification of direct, and not consequential, damages. The Court held, however, that a damages cap contained in the architect’s proposal, which was made a part of the contract by incorporation, could not be harmonized with the indemnity clause, so that under the contract, the indemnity provision took precedence over the damages cap.

Steadfast Insurance Co v. Brodie Contractors, Inc.
2008 U.S. Dist. LEXIS 88448 (October 31, 2008 W.D. Va.)
Steadfast Insurance Co., as subrogee of Skanska USA Building Co., the general contractor, alleged claims for breach of contract and breach of warranty against Brodie Contractors, Inc., a masonry subcontractor, concerning replacement of brick veneer on the Danville Regional Medical Center. Brodie moved for summary judgment alleging that the lawsuit was barred by Virginia’s statute of limitations.