Davis, Bowen & Friedel, Inc. v. DiSabatino ( 2016 )


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  •      IN THE SUPERIOR COURT OF THE STATE OF DELAWARE
    DAVIS, BOWEN & FRIEDEL, INC.,            )
    )
    Plaintiff,              )
    )     C.A. No.: N14C-05-021 AML
    v.                            )
    )
    )
    BERNARD DISABATINO,                      )
    )
    Defendant.              )
    Submitted: September 7, 2016
    Decided: December 27, 2016
    MEMORANDUM OPINION
    Patrick J. Scanlon, Esquire and Darlene Wyatt Blythe, Esquire, LAW OFFICES
    OF PATRICK SCANLON, P.A., Wilmington, Delaware; Attorneys for Davis,
    Bowen & Friedel, Inc.
    Leo John Ramunno, Esquire, LEO JOHN RAMUNNO, ATTORNEY AT LAW,
    Wilmington, Delaware; Attorney for Bernard DiSabatino.
    LeGROW, J.
    This is a breach of contract case stemming from four separate contracts
    through which the defendant retained the plaintiff to assist in developing four
    distinct pieces of real estate. The plaintiff requests judgment in its favor in the
    amount of $180,484.86, plus interest, attorneys’ fees, and court costs.1 The key
    question in this case is one of timeliness: did the plaintiff’s claims accrue when the
    defendant stopped paying or were the plaintiff’s damages uncertain until the
    contracts were terminated? I conclude the plaintiff could ascertain its damages at
    the time the invoices were not paid, and I therefore award damages only for those
    invoices that became past due no more than three years before the complaint was
    filed.
    FACTUAL AND PROCEDURAL HISTORY
    These are the facts as I find them after trial, taking into account the
    credibility of the witnesses and the evidence presented by the parties. Defendant
    Bernard DiSabatino, who is a real estate developer, retained the engineering and
    surveying services of Plaintiff Davis, Bowen & Friedel (“DBF”) relating to four
    real estate projects: the Chickberry Project, Jestice Farm Project, Northeast Project,
    and Elkton Project (collectively, the “Projects”).2 Each project was based on a
    contract that enumerated the services to be provided for that project and a proposed
    1
    Davis, Bowen & Friedel, Inc. v. DiSabatino, C.A. No. 14C-05-021, at 8 (Del. Super. Apr. 19,
    2016) (TRANSCRIPT) (hereinafter “Trial Tr.”).
    2
    
    Id. at 7.
                                                   1
    or estimated fee associated with the particular service. Each contract also stated:
    “Payment terms are in accordance with our attached Schedule of Rates No. 43.
    Should payments not be received in accordance with the above payment terms,
    [DBF] reserves the right to stop work on this project and reassign staff until such
    time as all outstanding monies are paid and staff can be reassigned to your
    project.”   Attached to each contract was a “schedule of rates and general
    conditions,” setting forth various staff members’ hourly rates and other payment
    terms (“Schedule 43”). Schedule 43 required “Payment terms: Net 30 days of
    invoice date.”
    On May 2, 2014, DBF filed suit against DiSabatino based on each of these
    contracts. This Court held a bench trial on April 19, 2016. Two witnesses testified
    at trial: William Zachary Crouch and Anthony Carrozza. Crouch, a registered
    professional engineer, is DBF’s vice president and owner.3 Carrozza worked with
    DiSabatino as a consultant on the Projects, attended every meeting, and handled all
    email communications between DBF and DiSabatino.4 Between 2011 and 2013,
    DiSabatino and Carrozza spoke to Crouch about all four Projects multiple times a
    week and met with him at least twice a month.5 Carrozza testified that he kept
    3
    Trial Tr. 11 (Crouch).
    4
    Trial Tr. 71-72 (Carrozza).
    5
    
    Id. at 96:
                 A: We communicated with Mr. Crouch in 2011, 2012, 2013. At least two,
    three, four - -
    Q: About Chickberry?
    2
    informal bill payment records and maintained a ledger listing amounts paid and to
    whom. DiSabatino did not, however, maintain a record of invoices that were
    received or outstanding.6
    A. The Chickberry Project
    The Chickberry Project, which involved developing approximately 381 acres
    of land in Sussex County, Delaware, was based on a proposal DBF created and
    revised in 2006, and which the parties signed on January 12, 2007.7 The County
    preliminarily approved the project in January 2009, and extended that approval
    several times, but the project never was completed.8 Crouch, who was the project
    engineer for Chickberry, testified that DBF received a letter from the County
    extending the project to January 14, 2012.9 He testified credibly that he never was
    told to cease work on this project.10
    DBF claims DiSabatino owes a total of $49,234.78 on the Chickberry
    Project.11 Nearly all the invoices underlying DBF’s damages claim for Chickberry
    A: About all of them. Four projects. Three, four, five times a week. Met
    with him at least twice a month.
    6
    
    Id. at 93-96.
    7
    Trial Exs. 1 (A) at 1, 7, 11.
    8
    Trial Tr. 16 (Crouch).
    9
    
    Id. at 14,
    17. There was some discrepancy during trial about when the extension expired –
    January or June. See 
    id. at 17,
    47, 109, 113-14, 117; Trial Tr. 85 (Carrozza). This discrepancy is
    not material to my decision.
    10
    Trial Tr. 32 (Crouch).
    11
    
    Id. at 17.
                                                    3
    relate to work completed, invoiced, and past due before May 2, 2011.12 Only one
    invoice, dated March 6, 2013, relates to work done after May 2, 2011.13 Before
    March 2013, the last work DBF performed on the project was attending a meeting
    in March 2011 with Tidewater and Artesian relating to water and sewer
    agreements.14      A year before that, in March 2010, DBF worked to obtain
    preliminary approval for the extensions until 2012.15
    Crouch testified that he regularly sent DiSabatino invoices, and DiSabatino
    did not object to the amount or services invoiced.16 The invoices were sent on or
    about the date on the invoice.17 Carrozza acknowledged receiving the March 6,
    2013 invoice,18 which related to extending the previously completed wetlands
    delineation.19 Because DBF does not perform wetlands consulting, it retained
    outside consultants, paid those consultants, and then billed DiSabatino to be
    reimbursed for the expenses.20
    DiSabatino contends that, except for the March 2011 meeting, no work was
    authorized after the preliminary plan was approved on January 14, 2009.21
    12
    DBF periodically sent past due invoices after May 2, 2011, but no new work was done.
    13
    Trial Tr. 15 (Crouch). The other invoices were for interest accruing on the past due amounts.
    14
    
    Id. at 44;
    Trial Tr. 84 (Carrozza); Trial Ex. 1 (C) at 23.
    15
    Trial Tr. 45-46 (Crouch); Trial Tr. 84 (Carrozza).
    16
    Trial Tr. 15, 17, 22 (Crouch).
    17
    
    Id. at 17.
    18
    Trial Tr. 81 (Carrozza).
    19
    Trial Tr. 16 (Crouch). “The wetlands delineation is only good for five years.” 
    Id. 20 Id.
    21
    Def.’s Resp. Br. 2.
    4
    Carrozza testified that he instructed Crouch to stop working on Chickberry, but
    concedes that his instruction was not memorialized in any letter or email.22 In
    addition to asserting the work was not authorized, DiSabatino questions whether
    any wetlands work actually was done at all in 2013.23 Therefore, according to
    DiSabatino, the last time DBF did any work on Chickberry was in March 2011.24
    B. The Jestice Farm Project
    The Jestice Farm Project was based on a July 27, 2006 proposal made by
    DBF, which DiSabatino signed on November 15, 2006.25 This project involved the
    development of a 91-acre parcel of land in Sussex County.26 The initial work, such
    as the preliminary site plan approval, was completed in 2008.27       The project
    received preliminary approval in January 2009.28 Then, on March 4, 2011, DBF
    invoiced DiSabatino for work done in January 2011.29 This January 2011 work
    involved preliminary site layout services because the layout of the project
    changed.30
    22
    Trial Tr. 96 (Carrozza).
    23
    
    Id. at 82.
    24
    
    Id. at 82-83.
    25
    Trail Ex. 2 (A) at 39.
    26
    Trial Tr. 18 (Crouch).
    27
    
    Id. at 46.
    28
    Trial Tr. 84 (Carrozza).
    29
    Trial Ex. 2 (B) at 43.
    30
    Trial Tr. 46 (Crouch).
    5
    Crouch testified that DBF, at DiSabatino’s direction, submitted one-year
    extensions for Chickberry and Jestice Farm.31 The project received extensions
    through January 2012, at which time Crouch believed that DiSabatino intended to
    pursue both projects.32 Crouch testified he never was told otherwise.33
    Although the Jestice Farm Project’s approval expired in January 2012, DBF
    began at the end of 2012 preparing construction documents for the subdivision
    plan34 because “they were going to submit another extension.” 35 The project
    already was approved, so getting the County to re-approve the project was not
    “that big of a hurdle.”36 Another extension, however, never was obtained, nor was
    the project ever completed.37 DBF’s communication with DiSabatino ended in
    2013, at which time DBF had prepared approximately 65% of the project’s final
    construction documents.38 DBF maintains DiSabatino owes a total of $69,749.22
    on the Jestice Farm Project, $55,275.81 of which is for work done after May 2,
    2011.39
    On May 7, 2013, DBF sent DiSabatino an invoice for the partially
    completed construction documents, which DBF started six to eight months before
    31
    
    Id. at 113.
    32
    
    Id. at 113-14;
    see supra note 9 and accompanying text.
    33
    
    Id. at 113.
    34
    
    Id. at 47;
    114-15.
    35
    
    Id. at 48.
    36
    
    Id. 37 Id.
    38
    
    Id. at 21,
    115, 119.
    39
    
    Id. at 22.
                                                   6
    that date in connection with seeking the extension.40 Although Carrozza testified
    that he saw this invoice for the first time when it was attached to court
    documents,41 his testimony on that topic was not credible. I conclude that DBF’s
    course of conduct was to send its invoices regularly and automatically. DiSabatino
    failed to maintain records that would support its remarkably convenient contention
    that it did not receive this particular, fairly substantial, invoice.
    Carrozza also testified that this project preliminarily was approved in
    January 2009 and that, other than one meeting in March 2011, which was billed
    through Chickberry, he “doesn’t believe” any work subsequently was authorized.42
    Carrozza testified that in the spring of 2011, the Chickberry and Jestice Farm
    Projects fell through for two reasons: (1) DiSabatino could not get a new sewer
    contract, and (2) DiSabatino became aware that the property for both projects was
    the subject of foreclosure proceedings.43 He testified that this information, along
    with the fact that DiSabatino was not going through with the projects, was
    communicated to DBF and Crouch.44 Carrozza testified that DBF and Crouch also
    were aware of these foreclosure actions because Crouch spoke to Mr. Jestice, the
    owner of the property, “as much as he spoke to us about these two projects.”45
    40
    Trial Ex. 2 (B) at 53; Trial Tr. 114 (Crouch).
    41
    Trial Tr. 85 (Carrozza).
    42
    
    Id. at 84.
    43
    
    Id. at 78-79.
    44
    
    Id. at 79-80.
    45
    
    Id. at 80.
                                                        7
    Crouch disputes that Mr. Jestice informed him that the property was in
    foreclosure.46      Crouch testified he stopped communicating with Mr. Jestice
    sometime in 2012.47 Aside from Carrozza’s testimony, there is nothing in the
    record to support DiSabatino’s claim that DBF or Crouch were instructed to
    suspend or cease work.
    C. The Northeast Project
    The Northeast Project was based on a July 21, 2009 proposal that was signed
    on October 26, 2009.48 This project involved 43 acres of land located in Cecil
    County, Maryland. DiSabatino retained DBF to provide conceptual planning for a
    250-unit development.           After DBF created some conceptual layouts, the deal
    between the developer and the property owner fell through.49 DBF completed the
    work on this project on September 10, 2010 for a total of $9,151.53.50 Crouch
    testified that he sent several emails, statements, and invoices to DiSabatino
    requesting payment, but Crouch only received responses such as “we’re working
    with investors; we’re trying to find . . . builders.”51 On June 15, 2011, Crouch
    testified that he sent DiSabatino an email requesting that he pay $10,000 a month
    46
    Trial Tr. 120 (Crouch).
    47
    
    Id. at 119.
    48
    Trial Exs. 3 (A) at 59, 61.
    49
    Trial Tr. 23 (Crouch).
    50
    
    Id. at 24,
    54; Trial Tr. 83 (Carrozza).
    51
    Trial Tr. 24 (Crouch).
    8
    toward past-due invoices relating to the Northeast Project and another project, the
    Elkton Project.52
    D. The Elkton Project
    The Elkton Project, which involved 47 acres of land neighboring Elkton,
    Maryland, was proposed on July 21, 2006, revised on August 20, 2009, and signed
    by DiSabatino on August 31, 2009.53 DBF was hired to turn the area into a 336-
    unit development, which included conceptual site planning, property annexation to
    the town, forest delineation, coordination with utility service companies, an aerial
    topography survey, and a wetlands delineation.54 Crouch testified he did not know
    why the Elkton Project was not completed.55 On July 25, 2012, he received an
    email stating “we’re still working on financing.”56 Then on June 4, 2013, he
    received an email stating “we met with Ryan Homes today. Everything’s looking
    good.”57 Crouch testified that in 2015, “all of a sudden,” he received a request for
    the computer-aided design drawings (the digital files) for this project.58
    The total outstanding balance on this project is $52,454.33.59          It is
    undisputed that DBF last worked on the Elkton Project in 2013.60 Crouch testified
    52
    
    Id. This email
    is not in the record.
    53
    Trial Exs. 4 (A) at 78, 80; Trial Tr. 25 (Crouch).
    54
    Trial Tr. 25-26 (Crouch); Trial Exs. 4 (A) at 78-81.
    55
    Trial Tr. 28 (Crouch).
    56
    
    Id. 57 Id.
    58
    
    Id. 59 Id.
    at 29.
    9
    that of the outstanding invoices, 12 or 13 invoices are dated after May 2, 2011.61
    Those invoices total $25,989.61.
    ANALYSIS
    The primary dispute in this case is the timeliness of DBF’s claims. In
    Delaware, no action based on a promise “shall be brought after the expiration of 3
    years from the accruing of the cause of such action.”62 A cause of action for
    breach of contract accrues when the contract is broken, not when actual damage
    results or is ascertained.63      One exception to this general rule involves what
    interchangeably is referred to as a “continuous contract” or a “continuing breach.”
    In continuous contract and continuing breach cases, “the statute begins to
    run only when full damages can be ascertained and recovered,”64 which may not be
    until the contract terminates.65 If, on the other hand, “the Court finds the contract
    severable in nature, the statute of limitations generally begins to run on each
    severable portion when a party breaches that portion of the contract.” 66                 To
    determine if a contract is severable, Delaware courts consider whether the breaches
    60
    Trial Tr. 92 (Carrozza).
    61
    Trial Tr. 27 (Crouch).
    62
    
    10 Del. C
    . § 8106.
    63
    Worrel v. Farmers Bank, 
    430 A.2d 469
    , 472 (Del. 1981).
    64
    Guerrieri v. Cajun Cove Condo. Council, 
    2007 WL 1520039
    , at *6 (Del. Super. Apr. 25,
    2007) (citing Oliver B. Cannon & Son, Inc. v. Fid. & Cas. Co. of N.Y., 
    484 F. Supp. 1375
    , 1390
    (D. Del. 1980)).
    65
    AM Gen. Hldgs. LLC v. The Renco Grp., Inc., 
    2016 WL 4440476
    , at *11 (Del. Ch. Aug. 22,
    2016) (citing Smith v. Mattia, 
    2010 WL 412030
    , at *4 (Del. Ch. Feb. 1, 2010)).
    66
    Kaplan v. Jackson, 
    1994 WL 45429
    , at *2 (Del. Super. Jan. 20, 1994) (citing Burger v. Level
    End Dairy Inv’rs, 
    125 B.R. 894
    , 901-02 (Bankr. D. Del. 1991); 
    Worrel, 430 A.2d at 474-75
    ).
    10
    can be divided such that the plaintiff “could have alleged a prima facie case for
    breach of contract . . . after a single incident.”67 If such a case can be made, the
    contract is severable, “even when confronted with numerous repeated wrongs of
    similar, if not same, character over an extended period.”68 The continuing breach
    doctrine is “narrow” and “typically [] applied only in unusual circumstances.” 69
    The plaintiff bears the burden of proving that the continuing breach doctrine tolls
    the statute of limitations.70
    DBF filed its claims for breach of contract on May 2, 2014.71 DBF filed
    four separate cases, one for each contract, which later were consolidated.
    Therefore, to be timely, DBF’s claims must have accrued on or after May 2, 2011.
    DiSabatino maintains that DBF’s claims are barred by the three-year statute
    of limitations because the contracts are severable rather than continuous.
    DiSabatino supports this position with the following facts: consideration for the
    services was not paid in one lump sum; consideration was paid in accordance with
    separate services; the scope of the work was broken down by individual tasks;
    67
    AM Gen. Hldgs. LLC, 
    2016 WL 4440476
    , at *12 (citing Price v. Wilm. Trust Co., 
    1995 WL 317017
    , at *2-3 (Del. Ch. May 19, 1995)).
    68
    
    Id. (internal quotations
    omitted).
    69
    AM Gen. Hldgs. LLC, 
    2016 WL 4440476
    , at *11 (citing Desimone v. Barrows, 
    924 A.2d 908
    ,
    924-25 (Del. Ch. 2007)).
    70
    Fike v. Ruger, 
    754 A.2d 254
    , 261 (Del. Ch. 1999), aff'd, 
    752 A.2d 112
    (Del. 2000) (“The
    plaintiffs bear the burden of proving that tolling is available.”) (citing U. S. Cellular Inv. Co. v..
    Bell Atl. Mobile Syss., Inc., 
    677 A.2d 497
    , 504 (Del. 1996)).
    71
    DiSabatino incorrectly contends DBF’s claims were filed on September 23, 2014. The docket
    contradicts this contention.
    11
    services were performed in multiple phases; and either party could terminate the
    contract at any time.72 Because each contract is severable, DiSabatino argues, each
    claim accrued at the time of each breach, that is, when each invoice was not paid
    within 30 days of its issuance.
    DBF responds that each contract is continuous and therefore the claims only
    accrued at the termination of each contract, which DBF implicitly argues was the
    first time full damages could be ascertained.73        DBF contends that the trial
    testimony contradicts DiSabatino’s position that services were performed in
    multiples phases; Crouch testified that: “They’re typically done at the same time.
    When you’re doing a property line survey, you’re also doing topography, you’re
    also coordinating with []wetlands delinea[t]ion, but it’s all done at the same –
    pretty much the same time.”74
    A. Damages for the Chickberry Project are barred by the statute of
    limitations, except for the invoices that became overdue after May 2,
    2011.
    DBF’s breach of contract claim for the Chickberry Project is supported by a
    few invoices and the testimony of one witness. DBF is requesting $49,234.78 in
    damages relating to this project going back to services performed in 2008. The last
    time DBF undisputedly worked on this project is in March 2011.
    72
    Def.’s Resp. Br. 2.
    73
    Pl.’s Trial Memo. on Statute of Limitations 2.
    74
    Pl.’s Reply ¶ 3 (citing Trial Tr. 31. (Crouch)).
    12
    Although DBF contends it worked on the project in 2013, DiSabatino claims
    the last service performed was in March 2011. Carrozza testified Crouch was told
    the project was dead and he should stop working. DiSabatino argues: additional
    work neither was done nor authorized in January 2013; the work described in the
    March 6, 2013 invoice previously was performed and billed; and the March 6,
    2013 invoice does not describe any services DBF performed.             Alternatively,
    DiSabatino argues that if the last day of service was in March 2013, DBF is
    entitled to $2,479.14 because the contract is divisible and the statute of limitations
    precludes recovery for services rendered more than three years before the
    complaint was filed.
    DBF argues it defies common sense to continue working on a project after
    being told it is not going forward, and Crouch testified that DBF was not told to
    stop working.75           In addition, DiSabatino offered no evidence confirming
    Carrozza’s testimony that DBF was told to stop working on this project.76
    The parties’ arguments largely focused on whether the contracts were
    continuous or severable. In my view, the resolution of DiSabatino’s statute of
    limitations defense turns on a distinct question: when DBF’s damages could be
    determined and recovered.
    75
    Trial Tr. 117-19 (Crouch).
    76
    Trial Tr. 98 (Carrozza).
    13
    That question is determinative because, even where there is a continuous
    contract or continuing breach, “the statute begins to run the moment full damages
    can be determined and recovered.”77 That is, even if the Chickberry contract was a
    continuous contract,78 DBF’s claim accrued when DBF was able to determine and
    recover its damages. Although DBF assumes that was when the contracts were
    terminated, that conclusion is not supported by the record. Rather, after the 30-day
    contractual payment period had passed,79 and DiSabatino had failed to pay, DBF
    could ascertain its damages and pursue its claim. Although DBF vigorously argues
    the contracts were continuous, it does not explain why its damages could not be
    80
    ascertained when the invoices went unpaid.                  Accordingly, claims for invoices
    overdue before May 2, 2011 are barred by the statute of limitations. Those that
    became overdue after May 2, 2011, or that relate to services rendered after that
    date, are not time-barred.
    DiSabatino also argues DBF’s work after May 2, 2011 neither was
    authorized nor performed. This argument is inconsistent with, and unsupported by,
    the testimony and exhibits admitted at trial. DiSabatino received invoices and
    77
    AM Gen. Hldgs. LLC, 
    2016 WL 4440476
    , at *11.
    78
    The weight of the evidence supports a conclusion that the contracts were severable, rather than
    continuous. The separate identification of distinct services to be provided, the issuance of
    periodic bills related to those services, and the extended and undelineated term of the contract all
    support a conclusion of severability. The Court, however, need not reach that issue because the
    damages could be ascertained at the time the invoices were overdue, even if the contract was
    continuous.
    79
    See Schedule No. 43.
    80
    See AM Gen. Hldgs. LLC, 
    2016 WL 4440476
    , at *11 (citing Price, 
    1995 WL 317017
    , at *2-3).
    14
    never objected on any basis to the work or amounts, including on the basis that the
    work was not authorized or previously was performed. Based on DiSabatino’s
    witness’s testimony, the parties met and spoke often about all four Projects through
    2013. DiSabatino’s purported instruction to DBF to stop work on this project (or
    any other) was not memorialized in writing, and DiSabatino’s witness was not
    credible on this point. Moreover, DBF’s conduct evidences its belief that the
    contract was not terminated. For example, DBF continued working and incurring
    expenses, including substantial out-of-pocket expenses for a wetlands consultant.
    Accordingly, DiSabatino cannot avoid DBF’s timely claims under the pretense that
    the work was not authorized or performed.
    B. Damages for the Jestice Farm Project are barred by the statute of
    limitations, except for the invoice that became overdue after May 2,
    2011.
    DBF is entitled to $55,275.81 for the Jestice Farm Project. DBF seeks
    damages for work done in 2008, 2011, and 2013 on this project. DBF contends
    that it worked through May 7, 2013, when it billed DiSabatino for the work it had
    completed until that point.81 The May 7, 2013 invoice relates to services rendered
    approximately six months before the work was invoiced.82 DiSabatino contends
    this work neither was performed nor authorized.83 DBF’s earlier work on this
    81
    Pl.’s Post Tr. Memo. 5.
    82
    Trial Tr. 49, 114 (Crouch).
    83
    Def.’s Resp. Br. 3.
    15
    project was done in January 2011, more than two years before the May 7, 2013
    invoice. For the same reasons as explained above, DBF was able to determine and
    recover its damages at the time the invoices were not paid, and, therefore, only
    those claims for invoices overdue after May 2, 2011 survive.            DiSabatino’s
    contentions that this work was not authorized and that he did not receive the
    invoice fails because DiSabatino presented no credible evidence to support those
    contentions.
    C. DBF cannot recover damages for the Northeast Project.
    DiSabatino contends the latest date of service relating to the Northeast
    Project is December 23, 2009 for work performed in November 2009. In post-trial
    briefing, DBF conceded that its claims relating to the Northeast Project were
    barred.84       I agree.   The trial testimony was consistent that this project was
    completed by September 10, 2010. Accordingly, even using the latest date in the
    record, the statute of limitations bars any claim relating to this project. This is so
    whether the contract is continuous or severable, since damages were ascertainable
    and recoverable by September 2010.
    84
    Pl.’s Reply ¶ 5.
    16
    D. Damages for the Elkton Project are barred by the statute of
    limitations, except for the invoices that became overdue after May 2,
    2011.
    As to the Elkton Project, DiSabatino argues that DBF’s recovery should be
    limited for two reasons: (1) the contract is divisible so DBF’s recovery is limited to
    services performed after May 2, 2011; and (2) DBF “should have insisted that the
    environmental work (wetlands and forest delineation) [be] completed prior to
    preparing plans.”85 DiSabatino therefore maintains that DBF is entitled to no more
    than $19,002.50.86       DBF responds that “the work on the Elkton Project was
    documented by [DBF’s] invoices and Mr. Crouch’s testimony.”87
    DBF is entitled to $25,989.61 for 12 invoices. Again, DBF was able to
    ascertain its damages on this project when DiSabatino failed to pay the invoices
    within 30 days of the invoice date. Twelve invoices became due after May 2,
    2011. Accordingly, recovery is not barred by the statute of limitations as to these
    invoices. As to DiSabatino’s argument that DBF should have completed certain
    work before beginning other services, there is nothing to indicate DBF acted
    unreasonably or in a manner inconsistent with the contract.
    85
    Def.’s Resp. Br. 4 (emphasis in original).
    86
    DiSabatino’s amount is based on duplicative invoices and the faulty premise that the complaint
    was filed in September 2014.
    87
    Pl.’s Reply ¶ 6 (citing Trial Tr. 25-29 (Crouch)).
    17
    E. DBF is entitled to attorneys’ fees and costs.
    DBF contends each of the four contracts entitle it to recover attorneys’ fees
    and costs in pressing its claims. Schedule 43, attached and referenced in each
    contract, provides: “If required to engage legal counsel to collect an overdue
    invoice, DBF shall be entitled to recover also its costs of collection, including
    counsel fees and expenses.”88
    Generally, Delaware courts follow the American Rule, whereby each party
    bears its own costs and attorneys’ fees.89 There are, however, long recognized
    exceptions, one of which is a contractual fee-shifting clause.90 Here, the parties
    entered into four contracts whereby “DBF shall be entitled to recover [] its costs of
    collection, including counsel fees and expenses.”91
    As previously explained, DBF succeeded, at least partially, in its claims
    under the Chickberry Project, Jestice Farms Project, and Elkton Project. DBF did
    not succeed on its claim under the Northeast Project. Therefore, DBF only is
    entitled to recover those reasonable attorneys’ fees and costs associated with the
    portion of its claims pertaining to Chickberry, Jestice Farms, and Elkton. DBF
    88
    Trial Ex. 1 (A) at 8; Trial Ex. 2 (A) at 40; Trial Ex. 3 (A) at 62; Trial Ex. 4 (A) at 81.
    89
    Dover Historical Soc’y, Inc. v. City of Dover Planning Comm’n, 
    902 A.2d 1084
    , 1089 (Del.
    2006).
    90
    ATP Tour, Inc. v. Deutscher Tennis Bund, 
    91 A.3d 554
    , 558 (Del. 2014); Bergin v. McCloskey,
    
    2008 WL 4662378
    , at *1 (Del. Com. Pl. Oct. 22, 2008).
    91
    Trial Ex. 1 (A) at 8; Trial Ex. 2 (A) at 40; Trial Ex. 3 (A) at 62; Trial Ex. 4 (A) at 81.
    18
    may file a petition and affidavit associated with the fees and expenses it believes it
    is entitled to receive.
    CONCLUSION
    For the reasons stated above, DBF is entitled to $2,479.14 for the Chickberry
    Project, $55,275.81 for the Jestice Farm Project, and $25,989.61 for the Elkton
    Project, plus pre-judgment interest at 12%92 beginning December 20, 2013, post-
    judgment interest at the legal rate,93 attorneys’ fees, and costs. DBF SHALL
    submit within 30 days of the date of this decision an application detailing the basis
    for and amount of the reasonable attorneys’ fees and costs expended litigating this
    case, but only as to those claims that were successful. DBF also simultaneously
    SHALL file a proposed form of final order. To the extent he objects to the amount
    of attorneys’ fees or costs requested, or to the proposed form of order, DiSabatino
    SHALL file an opposition within ten days of the filing of DBF’s application and
    proposed order. IT IS SO ORDERED.
    92
    The contracts provided a contractual interest rate of 12% annually. Trial Ex. 1 (A) at 8; Trial
    Ex. 2 (A) at 40; Trial Ex. 4 (A) at 81.
    93
    DBF demanded pre-judgment interest at the legal rate. Compl. 1.
    19