{"id":904477,"date":"2025-06-19T11:48:16","date_gmt":"2025-06-19T17:48:16","guid":{"rendered":"https:\/\/www.myconstructionexpert.com\/blog\/?p=904477"},"modified":"2025-06-19T11:48:19","modified_gmt":"2025-06-19T17:48:19","slug":"consequential-damages-if-not-in-the-contract-dont-count","status":"publish","type":"post","link":"https:\/\/www.myconstructionexpert.com\/blog\/consequential-damages-if-not-in-the-contract-dont-count\/","title":{"rendered":"If It\u2019s Not In The\u00a0Contract, Don\u2019t Count On Consequential Damages"},"content":{"rendered":"\n<p>Jose A. Aquino | <a href=\"https:\/\/www.duanemorris.com\/attorneys\/joseaaquino.html#tab_PublicationsandSpeakingEngagements\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">Duane Morris<\/a><\/p>\n\n\n\n<p>A recent decision by the New York State Supreme Court, Appellate Division, Fourth Department, in\u00a0<em><a href=\"https:\/\/www.nycourts.gov\/courts\/ad4\/Clerk\/Decisions\/2025\/0606T1500\/pdf\/0374.pdf\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">James Vermillion v. The Roofing Guys, Inc<\/a>.<\/em>, sheds light on the limitations of <a href=\"https:\/\/www.myconstructionexpert.com\/blog\/consequential-damages-in-construction\/\">consequential damages<\/a> in breach of contract cases. The ruling reinforces the principle that damages are only recoverable if they were reasonably contemplated by both parties at the time the contract was formed.<\/p>\n\n\n\n<p>In this case, the plaintiff hired the defendant to reroof his home. During construction, however, a severe storm caused extensive water damage. The plaintiff sought to introduce expert testimony on damages related to delays\u2014such as increased mortgage rates, rising material costs, and disruptions to financing. However, the trial court excluded this evidence, and the appellate court unanimously upheld that decision.<\/p>\n\n\n\n<p>The appellate court emphasized that consequential damages require clear evidence that both parties anticipated such risks when entering the contract. Here, the agreement focused solely on roofing services and did not address financing risks or potential delays. Because the contract didn\u2019t mention these damages and there was no evidence the parties expected them, the court didn\u2019t allow the plaintiff to recover them.<\/p>\n\n\n\n<p>This ruling underscores the importance of drafting contracts that clearly define the scope of potential damages, especially in construction projects where external factors like weather can significantly impact timelines and costs. To protect against such risks, parties must include specific clauses addressing delays, financing impacts, or other foreseeable complications.<\/p>\n\n\n\n<p>Ultimately,&nbsp;<em>Vermillion<\/em>&nbsp;reaffirms that courts will enforce contracts as written. If consequential damages are not expressly included, parties may be limited to recovering only direct losses.<\/p>\n\n\n\n<hr class=\"wp-block-separator has-alpha-channel-opacity\"\/>\n\n\n\n<p><strong>When one of your cases is in need of a construction expert, estimates, insurance appraisal or umpire services in defect or insurance disputes &#8211; please call Advise &amp; Consult, Inc. at 888.684.8305, or email <a href=\"mailto:experts@adviseandconsult.net\">experts@adviseandconsult.net<\/a>.<\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Jose A. Aquino | Duane Morris A recent decision by the New York State Supreme Court, Appellate Division, Fourth Department, in\u00a0James Vermillion v. The Roofing Guys, Inc., sheds light on the limitations of consequential damages in breach of contract cases. The ruling reinforces the principle that damages are only recoverable if they were reasonably contemplated&hellip; <a class=\"more-link\" href=\"https:\/\/www.myconstructionexpert.com\/blog\/consequential-damages-if-not-in-the-contract-dont-count\/\">Continue reading <span class=\"screen-reader-text\">If It\u2019s Not In The\u00a0Contract, Don\u2019t Count On Consequential Damages<\/span><\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":true,"jetpack_social_options":{"image_generator_settings":{"template":"highway","enabled":false},"version":2}},"categories":[9],"tags":[9895,9099,224],"class_list":["post-904477","post","type-post","status-publish","format-standard","hentry","category-construction-contracts","tag-advise-consult","tag-consequential-damages","tag-construction-contract","entry"],"jetpack_publicize_connections":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v25.0 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>If It\u2019s Not In The\u00a0Contract, Don\u2019t Count On Consequential Damages - Advise &amp; 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