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In Ohio, A Contractor May Not 'insulate' Itself From Liability For Delays It Causes

Friday, June 18, 2010 01:39 am


Delay Damages

Acme Contracting, Ltd. v. TolTest, Inc., Berkley Regional Insurance Company, 2010 U.S. App. Lexis 6144 (6th Cir.March 24, 2010)

A sub won $2 million in delay damages though it did not comply with delay notice provisions in the subcontract. Contractor TolTest, Inc. (TolTest) hired subcontractor Acme Contracting, Ltd (Acme) to perform demolition work at the Georgia Technical Institute Nanotechnology Research Center in Atlanta. Acme prevailed in district court on a claim that TolTest caused multiple, costly delays on the project by failing to perform required abatement work. TolTest appealed to no avail.

First, TolTest refuted that the parties' subcontract incorporated a project schedule that gave Acme 70 days to perform. Instead, TolTest pointed to the subcontract's express terms, which provided for a fluid progression of the work. Elsewhere, however, the sub [...]

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