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Thursday, November 7, 2024

Dow Chemical’s summary judgment win affirmed, MMR Constructors brought $17M contract suit against company

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HOUSTON – Dow Chemical’s summary judgment win in a $17 million breach of contract suit against it was recently affirmed on appeal.

Court records show that on Feb. 4, 2016, Dow and MMR Constructors entered into a contract for power work at Dow’s project in Freeport. Dow agreed to pay MMR $40,407,604. The work was to be completed by March 3, 2017.

After the work was completed, the parties agreed to contract modifications. Based on the alleged change, MMR sought an additional $17.8 million from Dow.

On July 30, 2018, MMR filed a breach of contract suit against Dow, court records show.

MMR claims it incurred increased costs when it was directed by Dow to accelerate its work after Dow’s other contractors caused the work schedule to be delayed.

Court records show Dow filed a motion for summary judgment, asserting that none of the exceptions applied to the express-contract rule because MMR had fully performed under the contract, pointing to a MMR judicial admission that it had completed its work under the contract.

A trial court granted the motion, prompting MMR to appeal.

On Dec. 3, the First Court of Appeals affirmed the ruling, concluding Dow met its summary-judgment burden.

Appeals case No. 01-19-00039-CV

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