{"id":2319,"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=2319"},"modified":"2022-05-09T20:33:52","modified_gmt":"2022-05-09T20:33:52","slug":"caci-4543-contractors-damages-for-breach-of-construction-contract-owner-caused-delay-or-acceleration","status":"publish","type":"page","link":"https:\/\/crowdsourcelawyers.com\/judicial-council-california-civil-jury-instructions-caci\/caci-4543-contractors-damages-for-breach-of-construction-contract-owner-caused-delay-or-acceleration\/","title":{"rendered":"CACI 4543 Contractor\u2019s Damages for Breach of Construction Contract\u2014Owner-Caused Delay or Acceleration"},"content":{"rendered":"\n<style type=\"text\/css\" data-created_by=\"avia_inline_auto\" id=\"style-css-av-kv3gtjfm-ea78f13e03571cb7fadc1057e5b9e25a\">\n#top .av-special-heading.av-kv3gtjfm-ea78f13e03571cb7fadc1057e5b9e25a{\npadding-bottom:10px;\n}\nbody .av-special-heading.av-kv3gtjfm-ea78f13e03571cb7fadc1057e5b9e25a .av-special-heading-tag .heading-char{\nfont-size:25px;\n}\n.av-special-heading.av-kv3gtjfm-ea78f13e03571cb7fadc1057e5b9e25a .av-subheading{\nfont-size:15px;\n}\n<\/style>\n<div  class='av-special-heading av-kv3gtjfm-ea78f13e03571cb7fadc1057e5b9e25a 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 4543 Contractor\u2019s Damages for Breach of Construction Contract\u2014Owner-Caused Delay or Acceleration<\/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  avia-builder-el-1  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class='avia_search_element av-avia_sc_search-f7f83518637509acfac1c9900b84c1e7  avia-builder-el-2  el_after_av_hr  el_before_av_textblock '><search><form action='https:\/\/crowdsourcelawyers.com\/judicial-council-california-civil-jury-instructions-caci\/' id='searchform_element' method='get' class='' data-element_id='av-avia_sc_search-f7f83518637509acfac1c9900b84c1e7' ><div class='av_searchform_wrapper'><input type='search' value='' id='s' name='s' placeholder='Search CACI' aria-label='Search CACI' class='av-input-field ' required \/><div class='av_searchsubmit_wrapper '><input type='submit' value='Find' id='searchsubmit' class='button ' title='View results on search page' aria-label='View results on search page' \/><\/div><input type='hidden' name='numberposts' value='8' \/><input type='hidden' name='post_type' value='page' \/><input type='hidden' name='results_hide_fields' value='post_titles,meta,image' \/><\/div><\/form><\/search><\/div>\n<section  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-kv3guoor-7fa9b754c4dc6f751ad4c226829b2f0c\">\n#top .av_textblock_section.av-kv3guoor-7fa9b754c4dc6f751ad4c226829b2f0c .avia_textblock{\nfont-size:20px;\n}\n<\/style>\n<section  class='av_textblock_section av-kv3guoor-7fa9b754c4dc6f751ad4c226829b2f0c '   itemscope=\"itemscope\" itemtype=\"https:\/\/schema.org\/CreativeWork\" ><div class='avia_textblock'  itemprop=\"text\" ><h2 class=\"SS_Banner\">4543\u00a0Contractor\u2019s Damages for Breach of Construction Contract\u2014Owner-Caused Delay or Acceleration<\/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 [delaying\/accelerating] [<\/span><span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">name of plaintiff<\/span><span class=\"SS_bf\" data-housestyle=\"EMPHASIS_bf\">]\u2019s work, causing [<\/span><span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">name of plaintiff<\/span><span class=\"SS_bf\" data-housestyle=\"EMPHASIS_bf\">] harm. If you find that [<\/span><span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">name of defendant<\/span><span class=\"SS_bf\" data-housestyle=\"EMPHASIS_bf\">] [delayed\/accelerated] the work, you may award damages to [<\/span><span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">name of plaintiff<\/span><span class=\"SS_bf\" data-housestyle=\"EMPHASIS_bf\">] for all harm caused by the [delay\/acceleration], including 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\">Expenditures that<\/span>\u00a0[<span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">name of plaintiff<\/span><span class=\"SS_bf\" data-housestyle=\"EMPHASIS_bf\">] made for labor, services, equipment, or materials that [he\/she\/<\/span><span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">nonbinary pronoun<\/span><span class=\"SS_bf\" data-housestyle=\"EMPHASIS_bf\">\/it] otherwise would not have made but for the [delay\/acceleration];<\/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\">Overhead that [<\/span><span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">name of plaintiff<\/span><span class=\"SS_bf\" data-housestyle=\"EMPHASIS_bf\">] otherwise would not have incurred but for the [delay\/acceleration]; and<\/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\">Increase in the cost of labor, services, equipment, or materials already required under the contract that resulted from the [delay\/acceleration]. <br class=\"avia-permanent-lb\" \/><br class=\"avia-permanent-lb\" \/><\/span><\/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 for economic loss incurred because the owner either delayed or demanded acceleration of the work.<\/p>\n<p>For additional instructions on contract damages generally, see\u00a0CACI No. 350\u00a0et seq. in the Contracts series, particularly\u00a0CACI No. 351,\u00a0<span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">Special Damages<\/span>. <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\">Unreasonable Delay.\u00a0Public Contract Code section 7102.<\/span><\/p>\n<p><span class=\"SS_ListLabel\">\u2022<\/span><span class=\"SS_ListItemContent\">\u201cDelay damages are a common element recoverable by a party aggrieved by the breach of a construction contract.\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, 585 [198 Cal.Rptr.3d 47].)<\/span><\/p>\n<p><span class=\"SS_ListLabel\">\u2022<\/span><span class=\"SS_ListItemContent\">\u201cA subcontractor who is responsible for delaying the progress of a construction project may be held liable for delay damages incurred by the general contractor or by another subcontractor.\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. 586.)<\/span><\/p>\n<p><span class=\"SS_ListLabel\">\u2022<\/span><span class=\"SS_ListItemContent\">\u201c\u2009\u2018A building contractor whose performance is delayed by the owner may have increased overhead and fixed costs resulting from a delay and may suffer labor and material cost increases or loss of labor productivity due to delays for all of which he or she would be entitled to damages.\u2019 Extended home office overhead is one type of delay damages for which a contractor may seek recovery.\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. 586, internal citation omitted.)<\/span><\/p>\n<p><span class=\"SS_ListLabel\">\u2022<\/span><span class=\"SS_ListItemContent\">\u201cOverhead expense allocable to the period of delay is allowed to the extent the evidence shows an increase in overhead because of the breach; or where other jobs, but for the delay, would have been obtained to absorb such overhead.\u201d (<span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">A. A. Baxter Corp. v. Colt Industries, Inc.<\/span>\u00a0(1970) 10 Cal.App.3d 144, 158 [88 Cal.Rptr. 842], internal citations omitted.)<\/span><\/p>\n<p><span class=\"SS_ListLabel\">\u2022<\/span><span class=\"SS_ListItemContent\">\u201cWe conclude the trial court did not err in applying the\u00a0<span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">Eichleay<\/span>\u00a0formula as a legally permissible method of determining JMR\u2019s home office overhead damages. We base this conclusion upon the expert evidence presented at trial, the general recoverability of extended home office overhead as an element of delay damages, and the federal courts\u2019 general acceptance of the\u00a0<span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">Eichleay<\/span>\u00a0formula.\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. 587.)<\/span><\/p>\n<p><span class=\"SS_ListLabel\">\u2022<\/span><span class=\"SS_ListItemContent\">\u201cThe federal courts have identified three\u00a0<span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">Eichleay<\/span>\u00a0requirements. \u2018[T]he contractor [must] establish: (1) a government-caused delay; (2) that [the contractor] was on \u201cstandby\u201d; and (3) that [the contractor] was unable to take on other work. [Citation.]\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. 588.)<\/span><\/p>\n<p><span class=\"SS_ListLabel\">\u2022<\/span><span class=\"SS_ListItemContent\">\u201c[A] contractor cannot recover on a claim for unabsorbed office overhead where it is able to meet the original contract deadline or finish early despite a government-caused delay. An exception applies where the contractor demonstrates from the outset an intent to complete the work early, a capacity to do so, and a likelihood of early completion but for the government\u2019s delay. Application of the three-prong test requirement \u2026\u2009, however, is required only where the contractor finishes the work by the original specified contract completion date or earlier.\u201d (<span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">Howard Contracting, Inc. v. G.A. MacDonald Construction Co.<\/span>\u00a0(1998) 71 Cal.App.4th 38, 54\u201355, [83 Cal.Rptr.2d 590].) <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\u20091036<\/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\u20095.107<\/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\u20096.86<\/div>\n<div>2 California Construction Contracts, Defects, and Litigation (Cont.Ed.Bar) Ch. 9,\u00a0<span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">Handling Disputes During Construction<\/span>, \u00a7\u00a7\u20099.105\u20139.106<\/div>\n<div>12\u00a0California Real Estate Law and Practice, Ch. 434,\u00a0<span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">Government Contracts<\/span>, \u00a7\u2009434.90\u00a0(Matthew Bender)<\/div>\n<div>42\u00a0California Forms of Pleading and Practice, Ch. 481,\u00a0<span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">Public Works<\/span>, \u00a7\u2009481.90\u00a0(Matthew Bender)<\/div>\n<div>Miller &amp; Starr California Real Estate 4th, \u00a7\u00a7\u200931:76, 31:85 (Thomson Reuters)<\/div>\n<div>Acret, California Construction Law Manual (6th ed.) \u00a7\u00a7\u20091:89\u20131:91 (Thomson Reuters)<\/div>\n<div>Acret, California Construction Law Manual (6th ed.) \u00a7\u00a7\u20097:88\u20137:90 (Thomson Reuters)<\/div>\n<div>Bruner &amp; O\u2019Connor on Construction Law, \u00a7\u200919:73 (Thomson Reuters)<\/div>\n<div>Gibbs &amp; Hunt, California Construction Law, Ch. 4,\u00a0<span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">Breach of Contract by Owner<\/span>, \u00a7\u20094.10 (Aspen Pub. 16th ed. 1999)<\/div>\n<div>Kamine, Public Works Construction Manual, Ch. 19,\u00a0<span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">Recovery of Delay Damages When the Owner Prevents Early Completion<\/span>\u00a0(BNI Publications, Inc. 1996)<\/div>\n<div class=\"SS_Note\">\n<div id=\"TRNotes_n_3\"><\/div>\n<\/div>\n<\/div><\/section>\n<div  class='hr av-7yemcf-d16b7099039699e2a2a93e72f2228e7b 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-6el8dr-4db1eb23c25ea8becf8e142fac593e86\">\n#top .av_textblock_section.av-6el8dr-4db1eb23c25ea8becf8e142fac593e86 .avia_textblock{\nfont-size:22px;\n}\n<\/style>\n<section  class='av_textblock_section av-6el8dr-4db1eb23c25ea8becf8e142fac593e86 '   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-2319","page","type-page","status-publish","hentry"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.4 - 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