John Pearson

Following a trial in a construction dispute, the court issued an addendum correcting a tabulation error, resulting in an increased damages award of $179,681.59 to the plaintiff.

On the issue of costs, the court found the defendant was substantially successful on liability but reduced its costs recovery because it failed to prove the majority of its claimed damages.

The court rejected the defendant's argument for full indemnity costs under the subcontract, awarding $415,000 in partial indemnity costs.

The plaintiff was awarded prejudgment interest at 2% per annum from the date the project was substantially performed.

A construction lien dispute arising from the termination of a mechanical subcontract.

The plaintiff, a mechanical contractor, claimed a lien for unpaid work and damages for wrongful termination.

The defendant, the construction manager, terminated the subcontract citing multiple defaults including failure to provide adequate manpower, delays in completing critical work, and failure to correct deficiencies.

The court found the defendant properly exercised its contractual right to terminate based on the plaintiff's failure to properly and diligently perform the work, but awarded the plaintiff the net unpaid balance of the subcontract after deducting the defendant's completion costs and other back-charges.

The applicant sought leave to appeal an arbitrator's award that dismissed its claim for $19.7 million and allowed the respondent's counterclaim for $1,048,351.93 arising from a terminated construction contract.

The applicant alleged the arbitrator made 524 categorical errors of law in interpreting the contract.

The court dismissed the application, finding that the alleged errors were questions of mixed fact and law regarding the arbitrator's use of the factual matrix and subsequent conduct to determine if the contract was breached, and that the applicant failed to identify any extricable errors of pure law.