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Breach of Contract Economic Loss Doctrine

Fox Rothschild LLP

We Get By With a Little Help from Our Friends*

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Friends don’t let friends do business with friends. Among the key Business Court takeaways here at the blog, this maxim rings loud and clear. So, when decade-long friends Jared Londry and Daniel Farrar went into the real...more

Gordon Rees Scully Mansukhani

Construction Law Update – Second Quarter 2025

GRSM’s Construction Group is pleased to publish the latest issue of our Construction Law Update, a quarterly take on trends of interest to design professionals, contractors, and developers throughout the country....more

Ward and Smith, P.A.

The Economic Loss Doctrine: A Valuable Shield for Lenders

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Sometimes, they may even accuse you of causing them harm through negligence, breach of contract, or even breach of fiduciary duty. While the typical borrower-lender relationship doesn't create a fiduciary duty, certain...more

Lathrop GPM

Colorado Supreme Court Clarifies - a Bit - the Economic Loss Rule

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In a case that could have far reaching implications for business and construction litigation, the Colorado Supreme Court issued an opinion on April 21, 2025, providing some greater clarity on the economic loss rule under...more

Stark & Stark

The Economic Loss Doctrine’s Preclusion of Tort Claims Related to a Breach of Contract

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In the context of a breach of contract action, one very important, often misunderstood, legal doctrine is the economic loss doctrine. In general, the purpose of this legal doctrine is to prevent a breach of contract case from...more

Holland & Knight LLP

Commercial Parties, Transactional Lawyers and Litigators Beware: California Law Has Changed

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California law has changed. The change now makes it easier for California litigants to sue their opponents for fraudulently breaching a contract. Lawyers who negotiate and draft agreements subject to California law should...more

Adams & Reese

Tennessee Supreme Court Rules Economic Loss Doctrine Only Applies to Products Liability Cases; Reverses Appeals Court’s Expansion

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The Tennessee Supreme Court recently issued an important decision making clear that in a breach of contract dispute, the aggrieved party may recover more in damages than the parties’ contract permits, such as punitive,...more

Bradley Arant Boult Cummings LLP

Willful or Wanton Conduct Not Enough to Overcome Economic Loss Rule Says Colorado Court

n Mid-Century Insurance Co., v. HIVE Construction, Inc., a Colorado court of appeals recently reversed the decision of a lower court that had refused to apply the economic loss rule to a negligence claim alleging wanton or...more

Zuckerman Spaeder LLP

Sentencing in Government Contracting Fraud Cases When There is No Actual or Intended Loss

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In government contracting fraud cases with no actual or intended loss, defense attorneys should be on the lookout for prosecution attempts to invoke the “government benefits rule” to estimate “total gain” as an alternative...more

Saiber LLC

The Saiber Construction Law Column: September 2022

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In New Jersey, the “economic-loss doctrine” bars tort claims when the plaintiff’s only damages are economic in nature because, when parties enter into a contractual relationship, a contractual remedy flows from contract, not...more

Troutman Pepper Locke

Fraud as an Exception to the Economic Loss Doctrine: Changing Trends in Colorado and Tennessee

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The Economic Loss Doctrine and its various analogues (e.g., the Independent Duty Rule and the Gist of the Action Doctrine) vary in form and application, but each is a judge-made rule serving one principle: If a party seeks...more

Bass, Berry & Sims PLC

Tennessee Court Extends Economic Loss Doctrine to Construction Claims

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The Tennessee Court of Appeals recently issued an opinion extending application of the economic loss doctrine to certain construction claims. Among other things, the economic loss doctrine prevents a party from recovering on...more

Ward and Smith, P.A.

The Application of North Carolina's Economic Loss Rule to Commercial Construction Projects

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This article addresses recent developments in North Carolina law regarding the economic loss rule, explores the application of the economic loss rule to commercial construction projects in light of those developments, and...more

Snell & Wilmer

Utah Courts Expand the Reach of the Economic Loss Rule in Construction Disputes

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Utah courts continue to strengthen both the common law and statutory economic loss rule by limiting what duties are independent of those in a typical buyer/seller contractual relationship and thus limiting the common law...more

Bradley Arant Boult Cummings LLP

North Carolina Muddies the Water on the Economic Loss Doctrine

A pair of recent rulings involving the economic loss doctrine from North Carolina serve as a timely reminder to carefully consider the extent of contractual remedies in negotiation of construction agreements – lest a later...more

McGlinchey Stafford

Does An “As-Is” Clause In My Contract Preclude A Claim For Breach Of An Express Warranty? - The Bullet Point: An Ohio Commercial...

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Easement by estoppel- DeepRock Disposal Solutions, LLC v. Forté Prods., LLC, 4th Dist. Washington No. 20CA15, 2021-Ohio-1436- In this appeal, the Fourth Appellate District affirmed as modified the trial court’s...more

McGlinchey Stafford

Am I Entitled To Specific Performance?

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Specific Performance Jad Rentals of Youngstown, LLC v. Cox, 7th Dist. Mahoning No. 19 MA 0096, 2021-Ohio-304- In this appeal, the Seventh Appellate District affirmed the trial court’s decision, agreeing that the buyer...more

Womble Bond Dickinson

Even Breach of Fiduciary Duty Claim May Be Barred By the Economic Loss Rule

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While one party may owe a fiduciary duty to another outside of their contract, the Business Court will nonetheless examine the damages the plaintiff seeks from each and every claim. Perry v. Frigi-Temp Frigeration, Inc., 2020...more

Morris James LLP

CCLD Bars Tort Claims Overlapping with Contract Claims under Economic Loss Doctrine

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GEA Sys. N. Am. LLC v. Golden State Foods Corp., C.A. No. N18C-11-242 EMD CCLD (Del. Super. Ct. June 8, 2020) - This case illustrates the extent to which the economic loss doctrine bars tort claims arising out of the same...more

Bass, Berry & Sims PLC

Chris Lazarini Outlines Considerations in Claims of Economic Loss Rule

Bass, Berry & Sims attorney Chris Lazarini outlined a case exploring the economic loss rule. The court found that a party suffering only an economic loss from the breach of an express or implied contractual duty may not...more

Downs Rachlin Martin PLLC

Vermont Supreme Court Recognizes Exception to the Economic Loss Rule

Sutton v. Vermont Regional Center, 2019 VT 71 (Oct. 14, 2019) - Despite its longstanding reputation as liberal and sympathetic to plaintiffs, the Vermont Supreme Court has for a very long time strictly enforced the...more

White and Williams LLP

Virginia Molds Tort Versus Contract Law in New Home Construction Case

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Often times, both contract and tort claims co-exist in a subrogation matter and the line between the two can be blurred. This is especially true in the context of damages resulting from new home construction defect claims....more

Troutman Pepper Locke

North Carolina Federal District Court Dismisses Tort Claims Based on Same Duty and Breach Alleged in Plaintiff’s Contract Claims

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Precision Hydraulic Cylinders, Inc. v. Manufacturing. Technology, Inc., No. 7:18-CV-203-FL, 2019 BL 344743, 2019 U.S. Dist. LEXIS 156670 (E.D.N.C. Sept. 13, 2019) - Precision Hydraulic Cylinders, Inc. (“Precision”) issued...more

Saul Ewing LLP

Utah Appellate Court: Homeowners’ Claim for Defective Construction Against Geotechnical Engineer Dismissed Due to Lack of Contract...

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A recent Utah Appellate Court upheld the dismissal of a homeowners' claims against a geotechnical engineer because the homeowners did not have a contract with the geotechnical engineer and therefore their claims were barred...more

Brownstein Hyatt Farber Schreck

Colorado Supreme Court Revisits Economic Loss Rule

The Colorado Supreme Court has issued a number of opinions over the last several years clarifying the scope of the economic loss rule. On May 7, 2019, the court revisited the economic loss rule in Bermel v. BlueRadios, Inc.,...more

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