Liquidating damages calculation for hud construction

Rated 3.93/5 based on 906 customer reviews

“As the Supreme Judicial Court found in Milliken, ‘Notwithstanding our respect for the integrity of corporate structures, we are troubled by the notion that by merely changing its form, without significantly changing its substance, a single corporation can wholly shed its debts to unsecured creditors, continue its business operations with an eye toward returning to profitability, and have no further obligation to pay such creditors.'” A Young Company Pursues VOIP Technology But Runs Into Trouble Sitara, the young company was pursuing voice-over-Internet protocol technology – or Vo IP – which essentially allows phone service to work over the Internet.In April 2002, Sitara stopped paying its rent and began talking to Renaissance, the landlord, about renegotiating the lease, but the two never reached a revised agreement.In fairness, the SJC did slash the attorneys’ fee award by 0,000, but with statutory interest accruing for several years now, the end result will likely be the same — the sellers are out a lot of cash.Fortunately, these types of antics are very much the exception rather than the rule at Massachusetts closings.Sitara arranged for a creditor to foreclose on its assets and then bought them back, reopening as a new entity, Converged Access.Converged claimed that it should not be responsible for the hundreds of thousands of dollars in back rent and interest owed by Sitara. Henry said “not so fast,” and ruled that Sitara’s plan to reemerge as Converged Access was improperly designed to shed the company’s unsecured debt, scrubbing the books clean with the transaction.The case of is an example of how really bad behavior at a real estate closing can get a party into big legal trouble.45 Acres in Mansfield for Sale The Prosky family of Mansfield entered into an agreement to sell 45 acres of developable land to KGM Custom Builders.

liquidating damages calculation for hud construction-9

(Why the landlord let the rent accrue this much is beyond me).Repudiating the contract, the Prosky’s attorney informed KGM that it should calculate the liquidated damages provision in the contract because the sellers were not going to sell.Closing Shenanigans A closing was nevertheless scheduled at which the Prosky’s attorney showed up with a professional videographer as “defense strategy.” The parties’ attorneys started yelling at each other, and KGM’s attorney shut off all electricity to the building, but the videographer was able to tape with battery power.KGM’s attorney demanded that the Prosky’s attorney produce the closing documents he was supposed to have drafted.The Prosky’s attorney waived the documents in the air, and when the buyer’s attorney went to grab them, he pulled them back and asked if could read them from 2 feet away.

Leave a Reply