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Contracts Keyed to Fuller
Chase Precast Corp. v. John J. Paonessa Co.
Citation:
566 N.E.2d 603, 409 Mass. 371 (1991)Facts
In 1982, the Commonwealth of Massachusetts contracted with Paonessa for highway resurfacing and improvements on Route 128, which included replacing grass median strips with concrete surfacing and barriers. Paonessa then contracted with Chase to supply 25,800 linear feet of concrete median barriers. In May 1983, residents began protesting the removal of the grass median strip. By June, a citizens’ group filed a lawsuit to stop the installation of concrete barriers. On June 7, Paonessa notified Chase to stop producing barriers. On June 17, the Department of Public Works settled with the citizens’ group and agreed to eliminate the concrete barriers. Chase had produced approximately half of the barriers before stopping production, for which Paonessa paid in full. Chase suffered no out-of-pocket expenses but sought to recover anticipated profits on the unproduced barriers.
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