Damages

Direct vs. Consequential Damages – What is the Difference, Really?

Many people, even while negotiating the terms of a contract “mutual waiver of consequential damages” clause, fail to appreciate the distinction between direct and consequential damages. A federal district court judge in Pennsylvania has penned a… Read More
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Lost Profit Claim is Constrained by Low Bid Setting

A contractor was the lowest bidder on a public project, and the second-low bidder was only $11,705 higher. A consultant later discovered that some of the bid quantities that it provided to the contractor (pre-bid) were mistaken. The contractor, who s… Read More
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What are the Contract Damages when Construction Creates No Benefit or Improvement?

From the Iowa Court of Appeal comes an interesting question and decision. If the construction project is not properly performed, and creates no benefit or improvement for the owner, what is the measure of the owner’s damages? The answer: the amount… Read More
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Agreement for Specific Performance Precludes Actual Damages Claim

In settling an environmental contamination claim, the property owner agreed to accept a cash payment and the environmental company agreed to perform remediation work. The settlement documents provided that the owner’s remedy was in specific perform… Read More
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