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Much Shelist Secures Nearly $1 Million Award from Village of Lisle in Trial Victory for Construction Company

CHICAGO – May 7, 2008 – Chicago-based Much Shelist recently secured a jury trial victory awarding more than $914,000 plus costs to its client Tires ‘N Tracks, Inc. (TNT), a Lombard, Ill.-based construction firm. TNT filed suit against the Village of Lisle in June 2003 alleging a breach of contract related to the construction of a relief sanitary sewer.

After beginning work on the sewer, TNT reported finding differing site conditions that involved heavy layers of underground rocks and boulders that were not revealed in the contract documents. According to TNT, the Village directed the company to continue work at significant additional expense. After the sewer pipe was completely installed, the Village declined to pay for the additional work and withheld the last interim payment and retainer.

Among other claims, TNT asserted that the Village violated the Public Construction Contract Act of Illinois, which requires governmental units in Illinois to make an equitable adjustment to the contract price when differing site conditions are properly reported and the governmental unit directs the project to continue.

A jury in the Eighteenth Judicial Circuit Court of Illinois returned a verdict in favor of TNT on all counts. The jury award of more than $914,000 includes almost the entire original contract amount, plus a high percentage of the equitable adjustment sought by TNT and a sizeable interest award.

“This is a very significant victory for our client and for the underground construction industry at large,” said lead attorney James M. Dash, a Principal in the firm’s Litigation & Dispute Resolution group and a member of the Construction Law practice. “The Public Construction Contract Act is a fairly new law and the Village of Lisle simply refused to recognize it. The jury clearly felt that the Village should live up to its responsibilities.”

TNT President Charles Cohen added, “We are thrilled with this victory, not only because it allows us to recoup our losses relative to this project, but it helps us to protect the integrity of our business and hopefully deter similar events from happening to us or others in the future.”

Much Shelist attorneys James M. Dash (Principal, Litigation & Dispute Resolution) and Tzivia A. Masliansky (Associate, Litigation & Dispute Resolution) represented TNT.