Los Angeles Unified School District, Plaintiff, Cross-Defendant and Respondent v. Great American Insurance Company…

Summary

The court held that a public-works contractor need not prove affirmative fraudulent intent to recover extra compensation for a public entity's nondisclosure of material information. Recovery is available only when the contractor lacked material cost information, the public entity possessed it and knew the contractor lacked it, the supplied information misled or failed to prompt inquiry, and the entity failed to disclose the information. The court affirmed the Court of Appeal's judgment and remanded for further proceedings. Justice Corrigan, dissenting, would have required affirmative misrepresentation or intentional concealment.