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Failure To Provide Notice Of Delay Was An 'absolute Bar'to Recovery

Thursday, December 01, 2011 06:03 am

 

Contract Change -- Notice Provision

SNC-Lavalin American, Inc. v. Alliant Techsystems, Inc., 2011 U.S. Dist. Lexis 118312 (W.D. Va. Oct. 13, 2011)

A contractor seeking delay damages for a contract change couldn't convince the court of its a-la-carte contract interpretation. But it may collect acceleration costs.

Alliant Techsystems, Inc. (Alliant) hired SNC-Lavalin America, Inc. (SNC) to provide engineering and construction services at a U.S. Army nitric acid/sulfuric acid concentration plant in Radford, Virginia. SNC subsequently sought delay damages resulting from a change to the type of coating used for the plant's ground floor. But the contractor was barred by the contract's written notice requirement, with which it did not comply.

The contract obligated SNC to provide written notice within 15 days of becoming aware of a changed condition that could affect the contract price. SNC claimed it suffered delays because the original flooring specifications for epoxy-coated concrete proved not to be durable enough to withstand acid spills at the plant. Allia[...]

 
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