Shapiro, Lifschitz & Schram

"There is no one I’d rather have leading the fight when our financial future depends on winning."

Alan W. Slepian, Esq. – Formerly Assistant General Counsel of PG&E National Energy Group

ENFORCING LIQUIDATED DAMAGES CLAUSES

Judah Lifschitz, James McMichael and Alexis Lockshin recently co-authored a must-read article for anyone involved in the construction industry.  The article, entitled Enforcing Liquidated Damages Clauses, featured in the June 2011 issue of The Construction Executive, discusses the use and impact of liquidated damages clauses and the importance of consulting experienced legal counsel when negotiating and drafting construction contracts, as failure to do so can lead to harsh consequences.

The article cites the case of In Athens Generating Co. et al v. Bechtel Power Corp. et al., in which the construction contract stipulated liquidated damages of $147,000 per day of delay.  Ultimately, the owner assessed liquidated damages totaling $26.9 million against the contractor.  The contractor defended against the assessment of liquidated damages by arguing that they were not enforceable because they exceeded the owner's actual delay damages and thus were an unreasonable penalty. The arbitration panel rejected that argument, held that the owner's actual delay damages were of no legal consequence and awarded the owner $26.9 million in liquidated damages under the construction contract's liquidated damages clause.

Read the full article here http://www.constructionexec.com/Issues/June_2011/Legally_Speaking.aspx.

 

 

Found In: Construction

Did You Know . . .

Members of the SLS trial group have tried in excess of 50 jury trials and 75 bench trials?

The SLS construction group has worked on sports stadiums across the country including Orioles Park in Baltimore and Paul Brown Stadium in Cincinnati?

The SLS construction group has worked on power plant projects across the country?

In 2007 SLS was selected for an Honorable Mention as one of the Best Places To Work in Washington DC?

Ron Shapiro, Steve Schram and Judd Lifschitz have all been selected as SuperLawyers by Law and Politics?

The SLS office building is an historic townhouse constructed in the late 1800s?

SLS has been selected by Martindale-Hubbell as a Preeminent Law Firm?

SLS trial lawyers have argued appeals in the U.S. Circuit Courts of Appeal for the 4th, 5th, 9th, D.C. and Federal Circuit?

SLS trial lawyers have been lead trial counsel in cases in Arizona, California, District of Columbia, Florida, Louisiana, Maryland, New Jersey, New York, North Carolina, Oregon, Texas, and Virginia, - to name just a few?

Virtually all the cases that SLS trial lawyers mediated have been favorably settled at mediation?

The transactional group at SLS was lead counsel on one of the largest, most complex mixed-use projects in downtown Washington, DC involving 4 lenders and 6 property owners?

In appreciation for the outstanding efforts of each of its employees during 2007, SLS gave everyone (attorneys, paralegals, and staff) a 4 day/3 night expense paid trip to Key West, Florida?

The transactional group at SLS has represented tenants in more than 200 retail leases in the Mid-Atlantic region?

Every attorney in the transactional group at SLS has at least 15 years experience?

The transactional group at SLS has represented developers in the purchase, construction, financing and/or sale of more than 75 multi-family apartment projects?

The transactional group at SLS has represented real estate investors and developers with respect to property in Pennsylvania, West Virginia, Delaware, Maryland, the District of Columbia, Virginia, North Carolina, South Carolina, Georgia, Florida, Texas, Tennessee, Michigan and the U.S. Virginia Islands?

Attorneys in the transactional group at SLS have represented eight national banks in commercial real estate loans?

Attorneys in the transactional group at SLS have represented the FDIC, the Resolution Trust Corporation and several banking institutions in loan workout transactions throughout the Mid-Atlantic region?

The transactional group at SLS has represented homebuilders and commercial real estate developers in work-outs of individual loans and also for work-outs of large portfolios involving dozens of properties in several states?

The trial lawyers of SLS have numerous reported decisions to their credit?