Graves Garrett client prevails in commercial arbitration

Graves Garrett attorneys Nathan Garrett and Joe McGroder recently achieved a significant outcome with the successful defense of a key firm client in an arbitration trial, protecting the firm’s client from significant financial liability and recovering unpaid construction fees in its counterclaim.

“Our successes for valued clients remain rooted in the work of our firm’s talented attorneys,” Garrett said. “Our practice is unique in the region, tackling national, big firm matters from a smaller, nimbler and more focused boutique. We take great pride in our clients and hard-earned outcomes. The details of this matter embody that pride and further advance our thriving and growing commercial litigation practice.”

The plaintiffs in the case alleged harm resulting from the loss of federal funding for a development project, arguing that the firm’s client improperly failed to disclose an ongoing (albeit unrelated) federal investigation involving its business. In accepting the argument posited by Graves Garrett and ruling in favor of the firm’s client, the arbiter found that the company had satisfied its contractual obligations to provide timely and quality construction services and that the contract did not require disclosure of the investigation. Notably, the evidence showed that where the firm’s client was contractually obligated to provide such notice, the company had been diligent and forthright in doing so, demonstrating the company’s good faith. The arbiter not only denied all of plaintiffs’ claims but found in favor of the firm’s client on its counterclaim for unpaid invoices relating to work on the project, awarding the company a significant sum, plus interest, as due and owing compensation for “quality construction, completed early.”

“We believe the arbiter made a well-reasoned decision, and while regrettable for the client to have experienced the turmoil and expense associated with litigation, are pleased with the outcome,” Garrett said.