{"id":2318,"date":"2021-10-25T03:57:11","date_gmt":"2021-10-25T03:57:11","guid":{"rendered":"https:\/\/crowdsourcelawyers.com\/judicial-council-california-civil-jury-instructions-caci\/?page_id=2318"},"modified":"2022-05-09T20:32:24","modified_gmt":"2022-05-09T20:32:24","slug":"caci-4541-contractors-damages-for-breach-of-construction-contract-change-orders-extra-work-total-cost-recovery","status":"publish","type":"page","link":"https:\/\/crowdsourcelawyers.com\/judicial-council-california-civil-jury-instructions-caci\/caci-4541-contractors-damages-for-breach-of-construction-contract-change-orders-extra-work-total-cost-recovery\/","title":{"rendered":"CACI 4541 Contractor\u2019s Damages for Breach of Construction Contract\u2014Change Orders\/Extra Work\u2014Total Cost Recovery"},"content":{"rendered":"\n<style type=\"text\/css\" data-created_by=\"avia_inline_auto\" id=\"style-css-av-kv3gqavy-57f6cbfdc0881c84ac9340559f77561c\">\n#top .av-special-heading.av-kv3gqavy-57f6cbfdc0881c84ac9340559f77561c{\npadding-bottom:10px;\n}\nbody .av-special-heading.av-kv3gqavy-57f6cbfdc0881c84ac9340559f77561c .av-special-heading-tag .heading-char{\nfont-size:25px;\n}\n.av-special-heading.av-kv3gqavy-57f6cbfdc0881c84ac9340559f77561c .av-subheading{\nfont-size:15px;\n}\n<\/style>\n<div  class='av-special-heading av-kv3gqavy-57f6cbfdc0881c84ac9340559f77561c av-special-heading-h1 blockquote modern-quote  avia-builder-el-0  el_before_av_hr  avia-builder-el-first '><h1 class='av-special-heading-tag '  itemprop=\"headline\"  >CACI 4541 Contractor\u2019s Damages for Breach of Construction Contract\u2014Change Orders\/Extra Work\u2014Total Cost Recovery<\/h1><div class='av-subheading av-subheading_below'><p>California Civil Jury Instructions CACI<\/p>\n<\/div><div class=\"special-heading-border\"><div class=\"special-heading-inner-border\"><\/div><\/div><\/div>\n<div  class='hr av-av_hr-91d7ccd583a503147498e120fee2ff9b hr-default  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class='av_textblock_section av-av_textblock-e878f05c31dff72941bf1e49a00d9ff5 '   itemscope=\"itemscope\" itemtype=\"https:\/\/schema.org\/CreativeWork\" ><div class='avia_textblock'  itemprop=\"text\" ><ul>\n<li><a href=\"https:\/\/crowdsourcelawyers.com\/judicial-council-california-civil-jury-instructions-caci\/\">CACI Jury Instructions Index<\/a><\/li>\n<li><a href=\"https:\/\/caci-fillable-forms.crowdsourcelawyers.com\/\">App: CACI Jury Instructions Fillable Forms Word Format<\/a><\/li>\n<\/ul>\n<\/div><\/section>\n<div  class='hr av-av_hr-91d7ccd583a503147498e120fee2ff9b hr-default  avia-builder-el-4  el_after_av_textblock  el_before_av_textblock '><span class='hr-inner '><span class=\"hr-inner-style\"><\/span><\/span><\/div>\n\n<style type=\"text\/css\" data-created_by=\"avia_inline_auto\" id=\"style-css-av-kv3grkis-f9c423fcc5f599dd0c4eb6ba44453dd7\">\n#top .av_textblock_section.av-kv3grkis-f9c423fcc5f599dd0c4eb6ba44453dd7 .avia_textblock{\nfont-size:20px;\n}\n<\/style>\n<section  class='av_textblock_section av-kv3grkis-f9c423fcc5f599dd0c4eb6ba44453dd7 '   itemscope=\"itemscope\" itemtype=\"https:\/\/schema.org\/CreativeWork\" ><div class='avia_textblock'  itemprop=\"text\" ><h2 class=\"SS_Banner\">4541\u00a0Contractor\u2019s Damages for Breach of Construction Contract\u2014Change Orders\/Extra Work\u2014Total Cost Recovery<\/h2>\n<hr \/>\n<p><span class=\"SS_bf\" data-housestyle=\"EMPHASIS_bf\">[<\/span><span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">Name of plaintiff<\/span><span class=\"SS_bf\" data-housestyle=\"EMPHASIS_bf\">] claims that [<\/span><span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">name of defendant<\/span><span class=\"SS_bf\" data-housestyle=\"EMPHASIS_bf\">] breached the parties\u2019 contract by increasing or changing the scope of the [project\/<\/span><span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">describe construction project, e.g., apartment building<\/span><span class=\"SS_bf\" data-housestyle=\"EMPHASIS_bf\">] beyond what was required by the contract. [<\/span><span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">Name of plaintiff<\/span><span class=\"SS_bf\" data-housestyle=\"EMPHASIS_bf\">], therefore, seeks to recover the total cost of all of [his\/her\/<\/span><span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">nonbinary pronoun<\/span><span class=\"SS_bf\" data-housestyle=\"EMPHASIS_bf\">\/its] work on the [project\/<\/span><span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">e.g., apartment building<\/span><span class=\"SS_bf\" data-housestyle=\"EMPHASIS_bf\">].<\/span><\/p>\n<p><span class=\"SS_bf\" data-housestyle=\"EMPHASIS_bf\">In order to recover the total cost of all of [his\/her\/<\/span><span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">nonbinary pronoun<\/span><span class=\"SS_bf\" data-housestyle=\"EMPHASIS_bf\">\/its] work, [<\/span><span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">name of plaintiff<\/span><span class=\"SS_bf\" data-housestyle=\"EMPHASIS_bf\">] must prove all of the following:<\/span><\/p>\n<p><span class=\"SS_ListLabel\"><span class=\"SS_bf\" data-housestyle=\"EMPHASIS_bf\">1.<\/span><\/span><span class=\"SS_ListItemContent\"><span class=\"SS_bf\" data-housestyle=\"EMPHASIS_bf\">That the scope of work under the original contract had been altered by the changes so much that the final project was significantly different from the original project;<\/span><\/span><\/p>\n<p><span class=\"SS_ListLabel\"><span class=\"SS_bf\" data-housestyle=\"EMPHASIS_bf\">2.<\/span><\/span><span class=\"SS_ListItemContent\"><span class=\"SS_bf\" data-housestyle=\"EMPHASIS_bf\">That because of the scope of the changes, it is not practical to prove the actual additional costs caused by each change demanded by [<\/span><span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">name of defendant<\/span><span class=\"SS_bf\" data-housestyle=\"EMPHASIS_bf\">];<\/span><\/span><\/p>\n<p><span class=\"SS_ListLabel\"><span class=\"SS_bf\" data-housestyle=\"EMPHASIS_bf\">3.<\/span><\/span><span class=\"SS_ListItemContent\"><span class=\"SS_bf\" data-housestyle=\"EMPHASIS_bf\">That [<\/span><span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">name of plaintiff<\/span><span class=\"SS_bf\" data-housestyle=\"EMPHASIS_bf\">]\u2019s original bid that was accepted by [<\/span><span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">name of defendant<\/span><span class=\"SS_bf\" data-housestyle=\"EMPHASIS_bf\">] was reasonable;<\/span><\/span><\/p>\n<p><span class=\"SS_ListLabel\"><span class=\"SS_bf\" data-housestyle=\"EMPHASIS_bf\">4.<\/span><\/span><span class=\"SS_ListItemContent\"><span class=\"SS_bf\" data-housestyle=\"EMPHASIS_bf\">That [<\/span><span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">name of plaintiff<\/span><span class=\"SS_bf\" data-housestyle=\"EMPHASIS_bf\">]\u2019s actual costs were reasonable; and<\/span><\/span><\/p>\n<p><span class=\"SS_ListLabel\"><span class=\"SS_bf\" data-housestyle=\"EMPHASIS_bf\">5.<\/span><\/span><span class=\"SS_ListItemContent\"><span class=\"SS_bf\" data-housestyle=\"EMPHASIS_bf\">That [<\/span><span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">name of plaintiff<\/span><span class=\"SS_bf\" data-housestyle=\"EMPHASIS_bf\">] was not responsible for incurring the additional costs.<\/span><\/span><\/p>\n<p><span class=\"SS_bf\" data-housestyle=\"EMPHASIS_bf\">If you find that [<\/span><span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">name of plaintiff<\/span><span class=\"SS_bf\" data-housestyle=\"EMPHASIS_bf\">] has established all of the above, determine [<\/span><span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">name of plaintiff<\/span><span class=\"SS_bf\" data-housestyle=\"EMPHASIS_bf\">]\u2019s damages by subtracting the contract price from the total cost of [<\/span><span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">name of plaintiff<\/span><span class=\"SS_bf\" data-housestyle=\"EMPHASIS_bf\">]\u2019s performance of the work. <br class=\"avia-permanent-lb\" \/><br class=\"avia-permanent-lb\" \/><\/span><\/p>\n<hr \/>\n<div class=\"SS_Note\">\n<h2 class=\"SS_HideShowSection SS_Expandable\"><\/h2>\n<div id=\"TRNotes_n_1\">\n<p><span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">New December 2010 <br class=\"avia-permanent-lb\" \/><br class=\"avia-permanent-lb\" \/><\/span><\/p>\n<hr \/>\n<p><a href=\"https:\/\/crowdsourcelawyers.com\/\">Crowdsource Lawyers<\/a><\/p>\n<p><a href=\"https:\/\/crowdsourcelawyers.com\/judicial-council-california-civil-jury-instructions-caci\">https:\/\/crowdsourcelawyers.com\/judicial-council-california-civil-jury-instructions-caci<\/a><span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\"><br class=\"avia-permanent-lb\" \/><\/span><\/p>\n<hr \/>\n<\/div>\n<\/div>\n<div class=\"SS_Note\">\n<h2 class=\"SS_HideShowSection SS_Expandable\">Directions for Use<\/h2>\n<div id=\"TRNotes_n_2\">\n<p>This instruction should be used in an action by the contractor against the owner if the contractor claims that changes demanded by the owner were such that damages must be measured by computing the total cost to the contractor to complete the contract minus the contract price. (Cf.\u00a0CACI No. 4540,\u00a0<span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">Contractor\u2019s Damages for Breach of Construction Contract\u2014Change Orders\/Extra Work<\/span>.) The difference is then considered to be the costs associated with all of the changes. For an instruction on quantum meruit recovery under the related but different theory of contract abandonment, see\u00a0CACI No. 4542,\u00a0<span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">Contractor\u2019s Damages for Abandoned Construction Contract\u2014Quantum Meruit Recovery<\/span>.<\/p>\n<p>For additional instructions on contract damages generally, see\u00a0CACI No. 350\u00a0et seq. in the Contracts series. <br class=\"avia-permanent-lb\" \/><br class=\"avia-permanent-lb\" \/><\/p>\n<hr \/>\n<\/div>\n<\/div>\n<div class=\"SS_Note\">\n<h2 class=\"SS_HideShowSection SS_Expandable\">Sources and Authority<\/h2>\n<div id=\"TRNotes_n_3\">\n<p><span class=\"SS_ListLabel\">\u2022<\/span><span class=\"SS_ListItemContent\">\u201cUnder [the total-cost] method, damages are determined by \u2018subtracting the contract amount from the total cost of performance.\u2019\u2009\u201d (<span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">Amelco Electric v. City of Thousand Oaks<\/span>\u00a0(2002) 27 Cal.4th 228, 243 [115 Cal.Rptr.2d 900, 38 P.3d 1120].)<\/span><\/p>\n<p><span class=\"SS_ListLabel\">\u2022<\/span><span class=\"SS_ListItemContent\">\u201cAlthough not favored, the total cost method\u2014along with its subcategory, the modified total cost method\u2014has been recognized in California as an appropriate way of computing damages.\u201d (<span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">JMR Construction Corp. v. Environmental Assessment &amp; Remediation Management, Inc.<\/span>\u00a0(2015) 243 Cal.App.4th 571, 589 [198 Cal.Rptr.3d 47].)<\/span><\/p>\n<p><span class=\"SS_ListLabel\">\u2022<\/span><span class=\"SS_ListItemContent\">\u201c[T]o invoke the total cost method for recovering damages, a contractor must establish \u2018(1) the impracticality of proving actual losses directly; (2) [its] bid was reasonable; (3) its actual costs were reasonable; and (4) it was not responsible for the added costs.\u2019\u2009\u201d (<span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">JMR Construction Corp.<\/span>\u00a0<span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">supra<\/span>, 243 Cal.App.4th at p. 589].)<\/span><\/p>\n<p><span class=\"SS_ListLabel\">\u2022<\/span><span class=\"SS_ListItemContent\">\u201cIf some of the contractor\u2019s costs were unreasonable or caused by its own errors or omissions, then those costs are subtracted from the damages to arrive at a modified total cost. \u2018If prima facie evidence under this test is established, the trier of fact then applies the same test to determine the amount of total cost or modified total cost damages to which the plaintiff is entitled.\u2019\u2009\u201d (<span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">Dillingham-Ray Wilson v. City of Los Angeles<\/span>\u00a0(2010) 182 Cal.App.4th 1396, 1408 [106 Cal.Rptr.3d 691], internal citations omitted.)<\/span><\/p>\n<p><span class=\"SS_ListLabel\">\u2022<\/span><span class=\"SS_ListItemContent\">\u201c\u2009\u2018The total cost method is not a substitute for proof of causation,\u2019 and \u2018should be applied only to the smallest affected portion of the contractual relationship that can be clearly identified.\u2019 As the United States Court of Appeals for the Federal Circuit has stated, \u2018Clearly, the \u201cactual cost method\u201d is preferred because it provides the court \u2026 with documented underlying expenses, ensuring that the final amount of the equitable adjustment will be just that\u2014equitable\u2014and not a windfall for either the government or the contractor.\u2019\u2009\u201d (<span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">Amelco Electric<\/span>,\u00a0<span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">supra<\/span>, 27 Cal.4th at p. 244, internal citations omitted.)<\/span><\/p>\n<p><span class=\"SS_ListLabel\">\u2022<\/span><span class=\"SS_ListItemContent\">\u201cWe conclude [plaintiff] failed to adduce substantial evidence to warrant instructing the jury on the four-part total cost theory of damages. In particular, [plaintiff] failed to adduce evidence to satisfy at least the fourth element of the four-part test, i.e., that it was not responsible for the added expenses. A corollary of this element of the test is that the contractor must demonstrate the defendant, and not anyone else, is responsible for the additional cost.\u201d (<span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">Amelco Electric<\/span>,\u00a0<span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">supra<\/span>, 27 Cal.4th at p. 245.)<\/span><\/p>\n<p><span class=\"SS_ListLabel\">\u2022<\/span><span class=\"SS_ListItemContent\">\u201c[W]e do not determine whether total cost damages are ever appropriate in a breach of public contract case \u2026\u2009.\u201d (<span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">Amelco Electric<\/span>,\u00a0<span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">supra<\/span>, 27 Cal.4th at p. 242.) <br class=\"avia-permanent-lb\" \/><br class=\"avia-permanent-lb\" \/><\/span><\/p>\n<hr \/>\n<\/div>\n<\/div>\n<h2 class=\"SS_Heading\"><span class=\"SS_bf\" data-housestyle=\"EMPHASIS_bf\"><span class=\"SS_ib\" data-housestyle=\"EMPHASIS_ib\">Secondary Sources<\/span><\/span><\/h2>\n<div>1 Witkin, Summary of California Law (11th ed. 2017) Contracts, \u00a7\u2009939<\/div>\n<div>1 California Construction Contracts, Defects, and Litigation (Cont.Ed.Bar) Ch. 5,\u00a0<span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">Private Contracts: Disputes and Remedies<\/span>, \u00a7\u20095.108<\/div>\n<div>1 California Construction Contracts, Defects, and Litigation (Cont.Ed.Bar) Ch. 6,\u00a0<span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">Public Contracts: Disputes and Remedies<\/span>, \u00a7\u20096.72<\/div>\n<div>3 Stein, Construction Law, Ch. 11,\u00a0<span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">Remedies and Damages<\/span>, \u00b6\u200911.02 (Matthew Bender)<\/div>\n<div>12\u00a0California Real Estate Law and Practice, Ch. 440,\u00a0<span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">Construction Contract Remedies<\/span>, \u00a7\u2009440.14\u00a0(Matthew Bender)<\/div>\n<div>10\u00a0California Forms of Pleading and Practice, Ch. 104,\u00a0<span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">Building Contracts<\/span>, \u00a7\u2009104.14\u00a0(Matthew Bender)<\/div>\n<div>Miller &amp; Starr California Real Estate 4th, \u00a7\u200931:70 (Thomson Reuters)<\/div>\n<div>Acret, California Construction Law Manual (6th ed.) \u00a7\u20097:93 (Thomson Reuters)<\/div>\n<div>Bruner &amp; O\u2019Connor on Construction Law, \u00a7\u00a7\u200919:39, 19:94\u201319.95 (Thomson Reuters)<\/div>\n<div class=\"SS_Note\">\n<div id=\"TRNotes_n_3\"><\/div>\n<\/div>\n<\/div><\/section>\n<div  class='hr av-73bske-7500554e937aaaa3502d0b1fb91d758e hr-default  avia-builder-el-6  el_after_av_textblock  el_before_av_textblock '><span class='hr-inner '><span class=\"hr-inner-style\"><\/span><\/span><\/div>\n\n<style type=\"text\/css\" data-created_by=\"avia_inline_auto\" id=\"style-css-av-6afmku-adc9fc7d4761c3d7e471e90786af3b8b\">\n#top .av_textblock_section.av-6afmku-adc9fc7d4761c3d7e471e90786af3b8b .avia_textblock{\nfont-size:22px;\n}\n<\/style>\n<section  class='av_textblock_section av-6afmku-adc9fc7d4761c3d7e471e90786af3b8b '   itemscope=\"itemscope\" itemtype=\"https:\/\/schema.org\/CreativeWork\" ><div class='avia_textblock'  itemprop=\"text\" ><p><a href=\"https:\/\/crowdsourcelawyers.com\/\">CrowdSourceLawyers.com<\/a><\/p>\n<\/div><\/section>\n","protected":false},"excerpt":{"rendered":"","protected":false},"author":3,"featured_media":0,"parent":0,"menu_order":0,"comment_status":"closed","ping_status":"closed","template":"","meta":{"footnotes":""},"class_list":["post-2318","page","type-page","status-publish","hentry"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.4 - 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