In September 2023, Hinckley Allen achieved a monumental victory in securing summary judgment on behalf of a national privately-held construction client (“Contractor”). This triumph was secured on a complex infrastructure project (“Project”) in Miami, Florida, and serves as a testament to the Firm’s strategic excellence.
Hinckley Allen orchestrated a legal defense that resulted in the pre-trial dismissal of a formidable claim for liquidated damages in excess of $100 million asserted by a Project Owner (“Owner”) in a lawsuit filed in the Circuit Court for Miami-Dade County. The Circuit Court’s ruling not only underscores the Firm’s correct strategic approach to the dispute, but also highlights the resounding success of its meticulous work to execute on the strategy developed early on in the litigation.
At the heart of the dispute was a complex construction agreement, based on the Cost of Work plus Fee, which culminated in nine Guaranteed Maximum Price (GMP) Amendments due to multiple design revisions and changes over the course of the Project. This intricate contractual foundation was further complicated by a subsequent agreement to substantially complete the Project by a revised completion date. The Owner continued to make changes to the scope of work beyond the new completion date and refused to grant additional time for the Contractor to complete the work. Disagreements arose when the Owner alleged a breach for failing to timely complete the Project and sought over $100 million in liquidated damages.
The Court accepted Hinckley Allen’s argument under applicable Florida law that the Owner’s conduct in making changes to the Project scope of work after the agreed upon completion date, without establishing a new date, rendered the “time is of the essence” provision in the parties’ agreement void and unenforceable, and resulted in a waiver of the Owner’s ability to assert a claim for substantial liquidated damages. The Court’s Order granting summary judgment in favor of our client dismissed the Owner’s liquidated damages claim in its entirety.
This victory underscores our client’s commitment to its contractual obligations and Hinckley Allen’s skill in effectively navigating complex construction litigation disputes.