John P. Lynch, Jr. Obtains Not Guilty Verdict in Commercial Arbitration

 

John Lynch obtained a not guilty verdict on breach of contract claims litigated in a two-day arbitration before the American Arbitration Association. The claimants, both security guard companies, subcontracted with the respondent, to provide security services at Chicago’s Midway and O’Hare International airports. After the claimants repeatedly failed to comply with the contracts, the respondent terminated the claimants and hired replacement contractors. The claimants filed claims for breach of contract and requested over $500,000 in damages.  John argued that the respondent was within its contractual rights to terminate the contracts. The claimants’ security guards routinely abandoned their posts, failed to comply with post orders, and refused to comply with a direction to reallocate their personnel.  The Arbitrator found that the claimants failed to prove that they complied with their contractual obligations and failed to establish damages and, then, held for the defense with respect to all claims.