On Behalf Of Wolfe Law Tampa
Jun 22, 2026
When a construction contract falls apart in Florida, the party who breached the agreement can be held responsible for several categories of damages, including the cost to fix or finish the work, lost profits directly attributable to the breach, and, in some cases, the other side’s attorney’s fees. Which damages apply depends on what the contract says and how the breach affected the project.
Compensatory Damages Cover the Direct Loss
Compensatory damages put the injured party back in the financial position they would have been in if the contract had been performed. In construction disputes, courts typically calculate this loss using one of the following measures:
- Cost of completion: The amount needed to finish the work to the standard the contract required.
- Cost of repair: The amount needed to fix defective or nonconforming work already performed.
- Diminution in value: The difference between the property’s value as built and its value if the work had been done correctly.
- Lost profits: Income a contractor or subcontractor did not earn because the other party breached the agreement.
Courts generally choose the measure that most accurately reflects the actual loss, and the appropriate measure can shift depending on whether the property owner, general contractor, or subcontractor is bringing the claim.
Delay Damages and Liquidated Damages Clauses
Many construction contracts address delay directly. If the contract includes a liquidated damages clause, the parties have already agreed on a set dollar amount owed for each day the project runs past the deadline. Courts will generally enforce that figure as long as it reflects a reasonable estimate rather than a penalty. Without a liquidated damages clause, a party can still pursue actual delay damages, such as extended overhead costs, additional financing charges, or lost rental income tied directly to the delay.
Recovering Attorney’s Fees and Costs
Construction disputes often include a lien claim alongside a breach-of-contract claim. Under Florida Statutes § 713.29, the prevailing party in an action to enforce a construction lien can recover reasonable attorney’s fees that are taxed as part of that party’s costs, in addition to any damages awarded on the underlying claim. Whether a contract-based fee clause or the statute governs fee recovery often depends on how the claims are structured, which makes it worth reviewing before filing.
What This Means for Your Case
The right damages theory depends on your contract, what went wrong, and what remedies the agreement itself allows. Documenting losses early can affect how a claim is valued. Records worth gathering include:
- Signed contract and any change orders
- Invoices, payment applications, and proof of payment
- Written correspondence about delays or defective work
- Photographs or inspection reports documenting the work in dispute
Organizing these records before filing helps establish which damages measure best fits your situation.
Talk to Wolfe Law Tampa PLLC About Your Construction Dispute
Construction contract disputes move quickly, and the damages available can shift depending on how a claim is filed. Our team at Wolfe Law Tampa PLLC can help you understand what your construction litigation case may be worth before you decide how to move forward. Call us at 813-803-0022 or fill out an online contact form to discuss your construction dispute.
