Greenberg Freeman prevails in contract arbitration.

Greenberg Freeman, led by Michael Freeman, scored an important victory for a major beauty and hair care products manufacturer, who was being sued by its former computer consultant in an arbitration before the AAA. The client hired the consultant to redesign and reconfigure the client’s existing financial and business reporting system. The consulting agreement was a “time and materials” contract, which required the client to pay for all services rendered as to which no objection was received within 30 days of the client’s receipt of the consultant’s monthly invoice. Greenberg Freeman defended the claim on the grounds that the consultant failed to act in a commercially reasonable manner, never finished the project despite having taken twice as long and having charged four times more than the original time and cost estimates, and that the provision in the consulting agreement requiring the client to reject services within 30 days was unreasonable and unenforceable under the facts of this case. The arbitrator sided with our client and dismissed the consultant’s claim in its entirety.

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