Direct Versus Consequential-- Is There a Clear Demarcation?

Gaetano Piccirilli and C. Quincy Conrad will present a “Toolbox Talk” for the American Bar Association Forum on Construction Law, “Direct Versus Consequential–Is There a Clear Demarcation?” on Thursday, March 20, 2025.

Construction contracts frequently provide for liquidated damages in the event of a contractor delay. The same contracts may provide “no damages for delay” in the event of an owner delay. Usually, a waiver of consequential damages accompanies these provisions. Together, these provisions create a level of security and predictability that may otherwise prove illusive. Litigants should not assume fluency in interpreting where direct damages end, and consequential damages begin. This presentation explores these concepts to assist parties in drafting, interpreting, and litigating the question of direct versus consequential.

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