Supreme Court of New Jersey

Broadway Maintenance Corporation, Plaintiff-Appellant v. Rutgers, the State University, Defendant-Respondent; Edwin…

July 7, 198290 N.J. 253

Summary

The Supreme Court of New Jersey affirmed the lower courts, holding that (1) a prime contractor may sue another prime contractor as an intended third‑party beneficiary when the contract expressly provides for such liability, (2) Rutgers, as owner, had no contractual duty to coordinate the work because it delegated that function to the general contractor, and (3) the exculpatory clause in the prime contracts shields Rutgers from damages for delay absent bad‑faith conduct.