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Wrongful Termination Of Prime Contractor (Settlement)

The Firm represented General Contractor in litigation contesting the Owner’s termination of General Contractor for cause on two separate contracts. The Firm demonstrated that the terminations were wrongful, and that delay to the project was not the fault of the general contractor, but instead arose from and was excused by numerous design deficiencies, repeated Owner changes, and Owner mismanagement. The Firm asserted damages based on delay, inefficiency, extra work, and to recoup surety losses. The Firm settled the matter for $7.35 million dollars, while at the same time resolving secured creditor claims of over $10 million dollars out of settlement funds and leaving money in the General Contractor’s pocket. The Owner acknowledged the terminations were not for cause.

Counsel: Louis J. Blum and Kelly A. Floyd

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