In 2024, a contractor awarded a $323 million contract for work on the I-294 reconstruction project was improperly terminated, resulting in a breach of contract lawsuit against the Illinois Tollway. The New York-based company claims it began work on the interchange of I-290 and I-88, only to have the contract terminated. The company claims the termination had no legal basis and resulted in harm to the company’s reputation and business.
After several months of litigation, the Illinois Tollway Board of Directors approved a $25 million settlement after acknowledging that the agency had made an administrative error when awarding the contract to the construction company. About $15 million of the settlement covers actual damages in construction costs incurred.
The Board claims the contract was canceled due to a new provision in Illinois state law that provides a bid preference for Illinois-based companies, which was inadvertently excluded from the original contract bid evaluation. If you are the victim of a breach of contract, it is important to speak to a knowledgeable Glen Ellyn, IL civil litigation attorney.