The measure of damages for breach of a construction contract depends on which party breaches and when.

Question

Quizplus · Accepted Answer

The party that breaches the contract and the timing of the breach are important factors in determining the measure of damages for a construction contract. For example, if the contractor breaches the contract by not completing the work on time or not meeting the specifications, the owner may be entitled to damages for the cost of completing the work or correcting the defects. On the other hand, if the owner breaches the contract by not paying the contractor or causing delays, the contractor may be entitled to damages for the value of the work already completed or for lost profits. Therefore, the measure of damages is dependent on the circumstances of the breach.

The Measure of Damages for Breach of a Construction Contract