U.S. District Court Overturns Jury Award for Consequential Damages

BVLaw
Court Case Digests
January 3, 2023
7371 Computer Programming Services
541511 Custom Computer Programming Services
economic damages & lost profits
damages, lost profits, breach of contract

Endless River Techs. LLC v. Trans Union LLC
2023 U.S. Dist. LEXIS 725; 2023 WL 24101
US
Federal Court
Ohio
United States District Court
Donald C. Nugent

Summary

The plaintiff sued for damages in relation to termination of a contract requiring the plaintiff to develop software for use by the defendant in comparing real-time online insurance quotes insurers give to their customers. The defendant terminated the contract and admittedly breached the contract. A jury awarded the plaintiff $18.3 million in damages relating to the breach. However, the contract between the plaintiff and the defendant had a liability limiting clause, which prohibited recovery of “consequential damages.” After reviewing motions by the parties, the judge sided with the defendant in determining that the damages awarded were “consequential damages” and not “direct damages” and were not allowed under the contract between the parties.

See Also

Endless River Techs. LLC v. Trans Union LLC

The plaintiff sued for damages in relation to termination of a contract requiring the plaintiff to develop software for use by the defendant in comparing real-time online insurance quotes insurers give to their customers. The defendant terminated the contract and admittedly breached the contract. A jury awarded the plaintiff $18.3 million in damages relating to the breach. However, the contract between the plaintiff and the defendant had a liability limiting clause, which prohibited recovery of “consequential damages.” After reviewing motions by the parties, the judge sided with the defendant in determining that the damages awarded were “consequential damages” and not “direct damages” and were not allowed under the contract between the parties.