Direct vs. Consequential: Why Precise Contract Language Matters

Danny Cerrone, Jr. and Andrew Giel | Clark Hill When entering into a construction contract, it is important to understand and account for the differences between direct damages and consequential damages, as these differences can determine what damages may be recoverable. Direct damages, sometimes referred to as general or proximate damages, follow from the type… Continue reading Direct vs. Consequential: Why Precise Contract Language Matters

Consequential Damages: Are They Foreseeable?

Jeffrey Haber | Freiberger Haber In BLDG 44 Developers LLC v. Pace Companies N.Y., LLC, 2025 N.Y. Slip Op 32881(U) (Sup. Ct., N.Y. County July 25, 2025) (here), BLDG 44 Developers LLC sued Pace Companies New York, LLC for breach of contract, seeking approximately $16 million in consequential damages related to delays in a construction project… Continue reading Consequential Damages: Are They Foreseeable?

Consequential Damages: Contract Language Is Key

Robert Banner | Tarter Krinsky & Drogin Judge Andrea Masley of the Supreme Court of New York County rendered a decision in Bldg 44 Developers LLC. v. The Pace Companies of New York LLC, which is highly significant in the area of construction law for two reasons: The first is that it clarifies, in the… Continue reading Consequential Damages: Contract Language Is Key

Consequential vs. Direct Damages

John Mark Goodman | BuildSmart Many construction contracts include a provision that prohibits the parties from recovering “consequential” damages in the event of a breach. Sometimes parties will negotiate and agree to a waiver of consequential damages that identifies and describes what damages are considered consequential damages. For example, the parties may agree that prohibited consequential… Continue reading Consequential vs. Direct Damages

Building Design Disputes – New Analysis of Direct v. Consequential Damages in Florida

Stephanie Eaton | Spilman Thomas & Battle Are design professionals involved in your Florida project?  If so, then you need to be aware of this newly decided case. The U.S. District Court for the Middle District of Florida, in Orlando, issued an Order on July 11, 2025, confirming that in Florida, remediation costs for defective… Continue reading Building Design Disputes – New Analysis of Direct v. Consequential Damages in Florida