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Lost Profits Available For Long-Term Contract Breach


After finding that the government had breached by not honoring the exercise of a 50-year option by a lessee, the Court of Federal Claims in California Oregon Broadcasting, Inc. v. U.S. (Nov. 6, 2006, rebuffed the government's argument that lost profits were too speculative to recover. The court pointed out that the lessee had previously rented out the land and could make a factual showing to support profits from the leasehold into the future.

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For more information, please contact the professional(s) listed below, or your regular Crowell & Moring contact.

Frederick (Rick) W. Claybrook Jr.
Partner – Washington, D.C.
Phone: +1 202.624.2695

J. Chris Haile
Partner – Washington, D.C.
Phone: +1 202.624.2898