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September 3, 2007

EDITOR'S NOTES

Three weeks ago, the Advisor reported a case in which a contractor in California could not recover lost profits after it was wrongly terminated from a motel project. This week, we report on another California court that took a different approach to the same question—here, the contractor could recover its prospective losses because the owner knew that the contractor’s bonding capacity would be impaired.

Also this week, what happens when a government agency’s contract says one thing and its contracting officer verbally says something that contradicts the contract? In this case, the verbal instructions may prevail.

Finally, we take a look at the ins and outs of recovering attorney fees. This ASBCA appeal offers reasons why the prevailing party may not be able to recover attorney fees.

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