Commercial Painting Company INC. v. The Weitz Company LLC ET AL

This is the third appeal arising from a commercial construction project. Most recently, the case went to trial before a jury, which awarded the plaintiff subcontractor $1,729,122.46 in compensatory damages under four separate theories and $3,900,000.00 in punitive damages. The trial court further awarded the plaintiff pre- and post-judgment interest and attorney’s fees and costs. We conclude the economic loss rule is applicable to construction contracts negotiated between sophisticated commercial entities and that fraud is not an exception under the particular circumstances of this case. Because punitive damages and interest are not authorized under the parties’ agreement, those damages are reversed. The compensatory damages of $1,729,122.46 awarded for breach of contract are affirmed. The award of attorney’s fees incurred at trial are vacated for a determination of the attorney’s fees incurred in obtaining the compensatory damages award. No attorney’s fees are awarded on appeal. We therefore reverse in part, affirm in part, and vacate in part.