Category Archives: Termination

Ninth Circuit Finds Arbitration Award Is ‘Irrational’ Because It Disregards the Contract’s Plain Text Simply to Reach a Just Result

Aspic Eng’g & Constr. Co. v. ECC Centcom Constructors LLC, No. 17-16510, 2019 BL 26363 (9th Cir. Jan. 28, 2019) Aspic Engineering and Construction Company (“Aspic”), a local Afghan subcontractor, entered into multiple subcontracts with ECC Centcom Constructors and ECC … Continue reading

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Supreme Court of North Dakota: Where Contract Provided That Either Party Could Cancel Upon 30 Days’ Notice, the Non-Breaching Party Seeking Lost Profits Could Only Recover the Lost Profits it Would Have Earned During the Notice Period

Cont’l Res. v. P&P Indus., LLC, 2018 N.D. Lexis 20 (January 22, 2018) In 2013, Continental Resources Inc. (“Continental”), an oil producer doing business in North Dakota, entered into a master servicing agreement, governed by Oklahoma law, with United Oilfield … Continue reading

Posted in Damages, Termination | Tagged , , , , ,

Court of Federal Claims Rules Contracting Officer’s Failure to Exercise Independent Business Judgment Renders Partial Termination for Convenience an Abuse of Discretion and Breach, but Holds Subsequent Termination for Cause of Remainder of Contract to Be Appropriate

Securiforce Int’l America, LLC v. United States, 125 Fed. Cl. 749 (March 21, 2016) Plaintiff Securiforce International America, LLC (“Securiforce”) was awarded a contract by the Defense Logistics Agency Energy (“DLA Energy” or the “agency”) to deliver diesel fuel and … Continue reading

Posted in Breach of Contract, Termination, Termination for Convenience

Pennsylvania Commonwealth Court Holds Enforceable School District’s Oral Promise to Pay Subcontractor for Returning to Job after Prime Contractor’s Termination

Zacherl, Inc. v. Flaherty Mechanical Contractors, LLC, 131 A.3d 1030, 2016 Pa. Commw. LEXIS 22 (Jan. 6, 2016) The West Allegheny School Board (the “School Board”) voted to approve the School District’s (the “District’s”) plan to renovate its high school … Continue reading

Posted in Payment dispute, Subcontract, Termination

Federal Court in Pennsylvania Holds That Contractor’s Nominal Underpayment of Progress Payments Does Not Relieve Subcontractor’s Duty to Perform

Butch-Kavitz, Inc. v. Mar-Paul Co., Inc., 2015 U.S. Dist. LEXIS 160652 (M.D. Pa. Dec. 1, 2015) The United States Army Corps of Engineers (the “Owner”) entered into a contract (the “Contract”) with Mar-Paul Company, Inc. (“Mar-Paul”) for $3,381,000.00, under which … Continue reading

Posted in Breach of Contract, Payment dispute, Termination, Uncategorized