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  • Case Opinion

State Highway Admin. v. Greiner Engineering Sciences, Inc.

State Highway Admin. v. Greiner Engineering Sciences, Inc.

Court of Special Appeals of Maryland

July 3, 1990

No. 1677, September Term, 1989

Opinion

 [*622]   [**363]  Greiner Engineering Sciences, Inc., appellee, made a claim against the State Highway Administration (SHA), appellant, for $ 148,859.80 in delay damages incurred during preparation of construction contract documents for a highway project. Upon denial of its claim, appellee appealed to the Maryland State Board of Contract Appeals 1 (BCA)  [*623]  which, following a de novo  [**364]  hearing, issued a written decision awarding appellee $ 111,644.00. The Circuit Court for Baltimore County (Turnbull, J.) affirmed the BCA decision.

 [***2]  ISSUES

Appellant asks this Court:

I. Whether the BCA erred by rewriting the contract to create an exception to the "no damages for delay" clause for delays not contemplated by the parties;

II. Whether the BCA finding that the delay was not contemplated by the parties, based solely upon the testimony of a witness who was not employed by SHA at the time the contract was executed, was supported by competent, material and substantial evidence;

III. Whether enforcement of the "no damages for delay" clause was unconscionable;

IV. Whether SHA was estopped from relying on the not-to-exceed clause in its contract with appellee;

V. Whether appellee's acceptance of extra work orders totalling $ 480,843.00 without reserving the right to file a later claim bars such later claim as a matter of law; and

VI. Whether appellee presented legally sufficient proof of damages where the BCA (1) retrospectively qualified as experts three witnesses who gave lay testimony; (2) accepted without analysis appellee's highly disfavored "total cost" proof of damages; and (3) arbitrarily reduced appellee's claim by twenty-five percent (25%) rather than dismiss the entire claim.

We address only the first and third [***3]  issues in this opinion. 2

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83 Md. App. 621 *; 577 A.2d 363 **; 1990 Md. App. LEXIS 127 ***

STATE HIGHWAY ADMINISTRATION v. GREINER ENGINEERING SCIENCES, INC.

Prior History:  [***1]  APPEAL FROM THE Circuit Court for Baltimore County; John Grason Turnbull, JUDGE.

Disposition: JUDGMENT REVERSED; COSTS TO BE PAID BY APPELLEE.

CORE TERMS

parties, delays, no damage, contractor, damages, clauses, no-damage-for-delay, highway, unconscionable, Phase, contemplation, drawings, delay damages, no-damages-for-delay, contracts, extension of time, extra work, contractee, uncontemplated, unambiguous, man-hours, courts, compensated, Consultant, hindrances, prepare, costs, construction contract, exculpatory clause, claim for damages

Administrative Law, Judicial Review, Reviewability, Factual Determinations, Environmental Law, Administrative Proceedings & Litigation, Judicial Review, General Overview, Questions of Law, Standards of Review, Public Contracts Law, Costs & Prices, Compensable Delay, Contracts Law, Contract Conditions & Provisions, Bids & Formation, Offer & Acceptance, Defenses, Ambiguities & Mistakes, Contract Terminations, Damages, Affirmative Defenses, Fraud & Misrepresentation, Contract Interpretation, Business & Corporate Compliance, Public Contracts Law, Voiding Contracts, Fraud & Whistleblowing, Misrepresentation, Governments, Local Governments, Claims By & Against, Ambiguities & Contra Proferentem, Coercion & Duress, Evidence, Types of Evidence, Documentary Evidence, Parol Evidence, Contracts Law, Exculpatory Clauses, Torts, Settlements, Releases From Liability, Exculpatory Clauses, Intentional & Reckless Acts, Unconscionability