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ASBCA Declares Material Breach, Allows Contractor To Stop Work

Client Alert | less than 1 min read | 09.07.04

In a declaratory action in SUFI Network Servs., Inc. (Aug. 18, 2004), the Armed Services Board of Contract Appeals agreed with the contractor supplying telephone services to Air Force lodgings in Germany that the Air Force had improperly directed it to allow lodging guests to use their calling cards from the contractor's phones and thereby avoid paying long-distance charges to the contractor. Because this resulted in a significant diminution of the contractor's revenues, the board also found the AF direction to be a material breach which allows the contractor to stop work and collect lost profit damages.

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Client Alert | 5 min read | 06.01.26

California Court Upholds Insurer’s Duty to Defend After Covered Claim Is Dismissed

On April 30, 2026, the U.S. District Court for the Northern District of California issued a significant ruling in an insurance coverage dispute between a commercial general liability insurer and its policyholder. The decision addresses several critical issues in insurance law, including the scope and continuity of the duty to defend and the standard for insurer reimbursement of defense costs in mixed-claim actions. The court ruled largely in favor of the insured, SVO Building One, LLC ("SVO"), and the matter now heads toward settlement or trial on SVO's remaining counterclaims....