According to the judgement of the Philadelphia Court of Common Pleas, Tutor Perini won the contract from Chestlen Development to build the W and Element Marriott hotels in 2015, agreeing to achieve substantial completion by August 2018 for a guaranteed maximum price of $255,782,216.
The deadline passed. In January 2021, Chestlen announced it planned to open the hotels that spring and that it had filed a complaint against the contractor, alleging that Tutor Perini had withheld payments to subcontractors and key information from Chestlen.
This month, the court said defects arose early in the project and that Tutor Perini had still not obtained a certificate of substantial completion.
The court awarded Chestlen Development compensatory damages of $174,681,212. Among other items, that includes liquidated damages of $97,895,000 and the developer’s out-of-pocket costs including $12.66m in concrete costs and $8m for windows.
“Tutor engaged in material, deceptive and intentional breaches of contract, ultimately impairing the financial stability of the project,” the court said.
The damages decision follows an October 2025 liability ruling issued after a five-week bench trial, in which the court found Tutor Perini liable for breach of contract and rejected the contractor’s counterclaims.
In 2016, Tutor Perini claimed to have set a record on the project for the biggest continuous concrete pour in Philadelphia’s history. It poured 5,850 cubic yards of concrete over 28 hours for the hotels’ mat foundation.
Peter Sheridan, chair of construction litigation at law firm Glaser Weil, who represented Chestlen, said: “This award confirms what Chestlen has maintained from the start: accountability matters, regardless of the size of the contractor.”
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