Vermont Considers Design Professionals and Economic Losses to Non-Contracting Parties


In writing material for the South Carolina Construction Defect Law blog on Word Press, I often have to stray from our law firm’s geographic reaches in order to find fresh content. South Carolina has plenty of fresh case law which impacts contractors, consumers, design professionals, and building material suppliers although we do not produce enough content for daily articles on our state. Tonight we look at a Vermont case which examines the liability faced by design professionals for purely economic losses to parties outside contractual privity with the aggrieved party.

In an action for negligence and negligent misrepresentation against defendant-design professionals over allegedly late and erroneous delivery of professional services as part of the construction of a resort, the Second Circuit certified the following questions to the Vermont Supreme Court: 1) Does the economic loss doctrine bar a contractor from seeking purely economic damages against design professionals who allegedly provided negligent professional services in violation of the design professionals’ contractual obligations with a mutual counterparty? 2) Does the economic loss doctrine apply to claims of negligent misrepresentation? Does the economic loss doctrine bar a contractor from seeking purely economic damages against design professionals who allegedly provided negligent professional services in violation of the design professionals’ contractual obligations with a mutual counterparty? While we do not know the answer to these questions, it is certain that the high court’s intent to have these certified is a break from the norm.

For the full opinion, see Hunt Const. Group, Inc. v. Brennan Beer Gorman which should be printed for public consumption this week in local and internet reporters.

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s