Caplan and Earnest Wins Big in Construction Case
Date: 03/10/2011
Contact: David W Marks - Marketing Manager
Contact Phone: 303-443-8010
Location: Boulder, Colorado
March 10, 2011
FOR IMMEDIATE RELEASE
Contact:
David W. Marks
Marketing Manager
Boulder, CO-
The law firm of Caplan and Earnest LLC successfully represented Hamon Contractors (http://hamoncontractors.com/) as trial counsel in a breach of contract and breach of the duty of good faith and fair dealing case against the City of Louisville. Litigation Team member, Sally P. Berg, acted as lead counsel in the 7 day jury trial that resulted in a $1,664,420.13 award to Hamon. The litigation centered around Hamon’s claims for costs and damages related to work on a road and bridge project for Louisville.
By way of background, in 2003, the City asked for competitive bids for certain construction upgrades on 2.4 miles of 96th Street including two major bridge structures. Hamon was the successful bidder for the Project.
Prior to the bid process, the City hired an engineering firm to conduct a drainage analysis of the area and to design the road upgrades. The engineer then drafted contract documents that were incorporated into the invitation to bid and Hamon’s contract. The contract included reference to a geotechnical report but failed to mention the engineer’s drainage analysis that showed significant amounts of irrigation water and historical drainage issues through the 96th corridor. The documents and the City also failed to comprehensively identify utility lines and scheduling problems related to utility relocations required to complete the job.
Through the course of construction, utility setbacks, soil and drainage problems, and weather all caused delays. Despite requests, the City did not grant Hamon adequate time and compensation for the project and eventually assessed liquidated damages against Hamon for the same delays.
Hamon then filed suit seeking the return of the liquidated damages, a determination on outstanding change order requests, delay and disruption costs, and consequential damages.
After a day of deliberation, the jury found that the City of Louisville breached the express terms of the contract, breached the implied warranty of the adequacy of plans and specifications, and acted in bad faith and awarded Hamon over $768,723.38 in costs and damages. Later the trial judge awarded Hamon $900,300.25 in attorneys’ fees, litigation costs, and interest.
For any questions relating to this case, or if you need assistance, please contact Sally Berg at 303-443-8010.