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Wm. Dejon Developers, Inc. v. Panhandle Grading & Paving, Inc.

Citations: 538 So. 2d 88; 14 Fla. L. Weekly 378; 1989 Fla. App. LEXIS 468; 1989 WL 8335Docket: No. 88-443

Court: District Court of Appeal of Florida; February 6, 1989; Florida; State Appellate Court

Narrative Opinion Summary

In this contractual dispute, the appellant contested a judgment awarding the appellee damages for a road construction project marred by deficiencies. The total contract price was $83,954.74, with acknowledged substantial performance by the appellee. However, deficiencies warranted a setoff of $32,146.90 against the contract price. The trial court erroneously reduced this setoff by $10,361.56, representing the benefit derived by the appellant from using the defective road, which was not aligned with the proper measure of damages. After the setoff, the adjusted contract price was $51,807.84, with an unpaid balance of $5,807 plus interest. The court neglected appellant's claims for $9,300 in liquidated damages for a delay in completion, as well as $311 for testing fees. The appellate court reversed the judgment, mandating the trial court to reassess damages, address the liquidated damages and testing fees, and determine the prevailing party for attorney’s fees according to the contractual agreement. The case was remanded for these considerations, emphasizing the need for a precise calculation of damages reflective of contractual obligations.

Legal Issues Addressed

Consideration of Testing Fees

Application: The trial court failed to consider the appellant’s claim for reimbursement of testing fees related to road deficiencies.

Reasoning: Additionally, appellant sought $311 for testing fees related to the road deficiencies, which appellee acknowledged but was not addressed by the trial court.

Contractual Damages and Setoff

Application: The court initially reduced the setoff for construction deficiencies by the benefit the appellant derived from the defective work, which was deemed erroneous.

Reasoning: The court's application of this benefit setoff is deemed erroneous, as the measure of damages should reflect the difference between the contract price and the value of the defective work, without accounting for the benefit received by the appellant.

Liquidated Damages for Delay

Application: The appellant claimed $9,300 in liquidated damages for a 93-day delay in project completion, which the trial court did not initially address.

Reasoning: The trial court did not address appellant's claim for $9,300 in liquidated damages due to a delay in project completion, which is $100 per day for 93 days past the deadline.

Reassessment of Damages on Remand

Application: The trial court is required to reassess damages, including liquidated damages and testing fees, and determine the prevailing party for attorney’s fees as per contractual terms.

Reasoning: On remand, the trial court must reassess damages, consider the liquidated damages and testing fee claims, and determine the prevailing party for attorney’s fees as stipulated in the contract.