Savage Services Corp. v. Cajun Industries, Inc.

We represented Savage Services in a construction contract dispute in the Southern District of Texas involving a rail terminal project. Savage had been hired by Exxon to oversee the project and subcontracted Cajun under a Master Work Agreement (MWA). Under this agreement, Cajun was entitled to a Cost Savings Amount calculated based on a specific formula. Following the project’s Final Completion, Cajun submitted a proposed change order for materials that had already been paid by Savage. Cajun argued that the materials altered the Base Not-to-Exceed (NTE) Amount, while Savage maintained that the MWA barred any additional change orders or reimbursements beyond the agreed terms.

We moved for summary judgment, asserting that the MWA clearly precluded Cajun’s claims. The court ruled in Savage’s favor, granting summary judgment and upholding Savage’s interpretation of the contract.

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