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"Total Cost" Not Allowed For Lost Productivity Delay-damages

Tuesday, September 02, 2003 05:23 pm

"Total Cost" Not Allowed For Lost Productivity Delay-damages

A federal court has ruled that a subcontractor could not use the "total cost method" to calculate lost productivity damages allegedly incurred as a result of prime contractor delay.

The Chester Housing Authority awarded a contract to C & C Rehab and Construction, Inc. for the construction of a housing project in Chester, Pennsylvania. C & C subcontracted the concrete foundation work, as well as curbs and sidewalks, to Net Construction, Inc.

The project was plagued by delay and was completed well behind schedule. Net Construction sued C & C for the loss it incurred on the subcontract. N [...]

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