J.S. Held Strengthens Forensic Accounting Expertise for Marital and Commercial Disputes with Acquisition of Forensic Accountants & Consultants
Read MoreA public school district and a steel contractor became embroiled in a complex construction dispute arising from the development of a new high school campus. The contractor had been awarded multiple structural steel packages and alleged that project delays, payment withholdings, and contract administration failures resulted in significant financial damages. The contractor subsequently filed suit asserting numerous causes of action, including breach of contract, delay damages, prompt payment penalties, and recovery of withheld contract funds.
The school district disputed the contractor's claims and filed a cross-complaint, asserting that the contractor's work and performance deficiencies contributed to project delays and damages. Key issues before the court included responsibility for project delays, entitlement to liquidated damages and other damages, the applicability of prompt payment penalties, and the proper calculation of damages.
Given the complexity of the scheduling and delay allegations, the matter required a detailed forensic evaluation of project schedules, contract requirements, procurement activities, and project controls practices throughout the construction process.
Our team was retained to evaluate the project's scheduling and delay claims and provide expert testimony regarding the reliability of the critical path schedules used to support the parties' competing positions.
Through a comprehensive review of project records, schedules, correspondence, and contract requirements, we assessed whether the scheduling information maintained during construction supported a credible delay analysis. Our evaluation identified significant deficiencies in the project's scheduling practices, including missing logic ties, incomplete critical path methodology, and failures to maintain and update schedules in accordance with contractual requirements.
We analyzed the relationship between key project activities, including design coordination, steel procurement efforts, and the construction sequence for multiple structures, and evaluated whether the available schedules could reliably demonstrate causation for alleged delays. Our findings concluded that the schedules did not provide a viable basis for an allegation of delays against the steel contractor.
At trial, our expert testimony helped the court understand the limitations of the project scheduling records and the importance of maintaining a properly developed and updated critical path schedule. The court ultimately found the scheduling analysis persuasive and concluded that the deficiencies in the project's schedules precluded district recovery of delay damages. The court further determined that both parties had contributed to breaches of contract and awarded damages based on the evidentiary record, while rejecting the district's claims for delay damages.
> Project Support & Expert Services
We are retained by first-party and third-party clients to deliver project support services, forensic investigations, and expert witness testimony on construction projects across the globe. Our team is composed of engineers, construction professionals, CPM scheduling experts, contract administrators, forensic accountants and economists, architects, and various other industry professionals delivering insight and solutions across all industries and geographic regions.
> Surety Services
We understand a surety’s interest in minimizing exposure, limiting liabilities, mitigating costs, and maximizing recovery. Our proven results on matters ranging from small subdivision claims to complex project defaults provide sureties with the utmost confidence in our ability to deliver reliable, comprehensive solutions.
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