Description
Better understand and analyze application of the Eichleay formula to help avoid or minimize the legal battles over such delay claims.
Delay claims can be contentious, highstakes legal battles. Victory or defeat often turns on expert testimony of causation and damages. A contractors unabsorbed home office expense damage is typically the largest damage sought by the contractor. The Eichleay formula for calculating unabsorbed home office expense damage is both controversial and central to this battle. Since the Eichleay case was decided in 1960, owners, contractors, and others have frequently squared off over the application of this formula, and whether this formula is truly a reasonable estimate of a contractors unabsorbed overhead damages. This topic will focus on the Eichleay formula, including the various presumptions upon which it is based. Attendees will look at the validity of these presumptions in modern times and in consideration of differences in facts and circumstances that may apply to a particular construction project. Attendees will also consider various prosecution and defense strategies that can be employed to uphold, defeat, or adjust the application of the Eichleay formula.
Date: 2023-10-25 Start Time: 1:00 PM ET End Time: 2:05 PM ET
Learning Objectives
* You will be able to explain what it means to make a claim for Eichleay damages.
* You will be able to recognize the presumptions upon which the Eichleay formula is based.
* You will be able to identify facts and circumstances that can be used to support or defeat application of the Eichleay formula for a particular construction project.
* You will be able to review effective strategies for prosecuting and defending against delay claims in which Eichleay damages are sought.