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Breach of Contract and Disgorgement for Contracting Outside License Classification

The firm was retained by a general contractor regarding the default termination of a subcontractor on a public school project.  The subcontractor had walked off the job and sued the general for approximately $570,000.00.  The firm commenced arbitration against the subcontractor seeking almost $375,000.00 in costs to complete above the subcontract balance at termination.

During discovery it was learned the subcontractor had performed work for roughly a month without the proper license classification.  The firm obtained a binding arbitration award against the subcontractor for $1,374,290.69, which included disgorgement of all amounts paid to the subcontractor, the increased costs to complete, interest, and attorneys’ fees and costs.

The award was confirmed as a judgment against the subcontractor for the full amount awarded.

Counsel: P. Randolph Finch Jr., Jason R. Thornton, and Scott M. Bennett

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