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Contracts Keyed to Murray
Drews Co. v. Ledwith-Wolfe Associates, Inc.
Facts
Ledwith-Wolfe Associates, Inc. (Defendant) contracted the Drews Company, Inc. (Plaintiff) to renovate Defendant’s building. Defendant intended to open a restaurant in the building. The parties ran into disagreements about the project from the beginning, and eventually Plaintiff stopped performance. Plaintiff filed a mechanic’s lien for the labor and materials used in renovating the building and subsequently sued to foreclose on the lien. Defendant counterclaimed, alleging breach of contract, seeking among other things, lost profits resulting from construction delays. As evidence of lost profits, Defendant provided evidence of gross profits the restaurant made in the months following the eventual completion of the construction. Defendant’s owner testified that he “would expect at least a third of that [gross figure] to be” net profit. The trial court found in favor of both parties on their contract claims. The trial court awarded Defendant $14,000 in lost profits. Plaintiff appealed with respect to the award of lost profits.
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