Masten Lumber & Supply Co. v. Brown

HERRMANN, Chief Justice:

In this consolidated appeal by two plaintiffs which supplied materials and labor for the construction of a residence, we must construe § 2707 of the Delaware Mechanic’s Lien Statute, (25 Del.C. ch. 27)1 *103governing residential housing. In determining the “balance due” under a contract to a general contractor who defaults prior to completion, we must decide whether it is proper to offset or deduct the cost of completion and liquidated damages for delay in completion. Our holding that the cost of completion may be deducted, while liquidated damages for delay may not,…