Dept. of Administrative Services v. Bestech, Inc. of Connecticut
CourtConnecticut Appellate Court
Date FiledJuly 28, 2026
DocketAC48336
JudgeCradle; Alvord; Seeley
StatusPublished
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Full Opinion
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Dept. of Administrative Services v. Bestech, Inc. of Connecticut
DEPARTMENT OF ADMINISTRATIVE
SERVICES v. BESTECH, INC. OF
CONNECTICUT ET AL.
(AC 48336)
Cradle, C. J., and Alvord and Seeley, Js.
Syllabus
The defendant contractor appealed from the trial court’s judgment granting
the plaintiff state agency’s request for an injunction barring the defendant
from pursuing arbitration of a certain claim related to a public works contract
between the parties. The defendant claimed that the court improperly granted
the plaintiff an injunction on the ground that the defendant’s claim was
barred by sovereign immunity because the waiver in the statute (§ 4-61 (a))
governing disputes arising under public works contracts did not apply. Held:
The trial court properly enjoined arbitration of the defendant’s claim, as the
claim did not fall within the limited waiver of sovereign immunity in § 4-61 (a).
Argued April 29—officially released July 28, 2026
Procedural History
Action seeking, inter alia, a declaratory judgment that
the named defendant is prohibited from arbitrating its
claim against the plaintiff, and for other relief, brought
to the Superior Court in the judicial district of Hartford,
where the plaintiff withdrew its complaint as against the
defendant American Arbitration Association; thereafter,
the case was tried to the court, Chavey, J.; judgment for
the plaintiff, from which the named defendant appealed
to this court. Affirmed.
Steven B. Kaplan, with whom, on the brief, was Paul
R. Fitzgerald, for the appellant (named defendant).
John M. Russo, Jr., assistant attorney general, with
whom, on the brief, was William Tong, attorney general,
for the appellee (plaintiff).
Opinion
SEELEY, J. The principal issue in this appeal is
whether General Statutes § 4-61,1 which waives the
1
General Statutes § 4-61 provides in relevant part: “(a) Any person, firm
or corporation which has entered into a contract with the state, acting
Dept. of Administrative Services v. Bestech, Inc. of Connecticut
state’s sovereign immunity with respect to certain claims
arising under public works contracts, applies in the pres-
ent case so as to waive the sovereign immunity of the
plaintiff, the Department of Administrative Services
(department), in relation to an arbitration claim raised
by the defendant Bestech, Inc. of Connecticut (Bestech)2
for equipment left idle following a stop work order. On
appeal, Bestech claims that the court improperly granted
the department’s application for injunctive relief bar-
ring Bestech from pursuing its arbitration claim against
the department on the ground that its claim was barred
by sovereign immunity because the waiver in § 4-61 (a)
did not apply. We disagree and, accordingly, affirm the
judgment of the court.
The following procedural history and facts, as stipu-
lated by the parties3 and as summarized by the court, are
relevant. “In 2017, [the department] awarded a contract
to Bestech and three other contractors for specified haz-
ardous materials abatement and removal services. The
contract was a multisupplier goods and services contract,
which did not itself authorize Bestech to ship goods or
begin performance absent a duly authorized purchase
order or, as alleged by Bestech, a notice to proceed. If
Bestech were authorized to begin performance on a par-
ticular project under the contract, the pricing was fixed
pursuant to schedules in exhibits B-1, B-2, B-3 and B-4
through any of its departments, commissions or other agencies, for the
design, construction, construction management, repair or alteration
of any highway, bridge, building or other public works of the state or
any political subdivision of the state may, in the event of any disputed
claims under such contract or claims arising out of the awarding of a
contract by the Commissioner of Administrative Services, bring an
action against the state to the superior court for the judicial district
of Hartford for the purpose of having such claims determined . . . .
“(b) As an alternative to the procedure provided in subsection (a) of
this section, any such person, firm or corporation having a claim under
said subsection (a) may submit a demand for arbitration of such claim
or claims for determination . . . .”
2
The complaint also named the American Arbitration Association as
a defendant, but the action was later withdrawn as to it.
3
The parties filed a joint stipulation of facts in lieu of an evidentiary
hearing.
Dept. of Administrative Services v. Bestech, Inc. of Connecticut
to the contract. Exhibit A (2) of the contract provided
that Bestech ‘shall not charge for equipment items not
listed in the [e]xhibit B [p]rice [s]chedule without prior
written approval from the [plaintiff] [c]lient [a]gency.’
Exhibit A (2) of the contract further provided: ‘The
[c]lient [a]gency’s representatives will monitor the use of
all labor and equipment. If the [c]lient [a]gency represen-
tatives determine that equipment is not being utilized,
such equipment will not be paid for while remaining
idle.’ . . .
“Bestech performed work at the former Bergin [Cor-
rectional Institution] prison property site and was paid
for all work through the time of a stop work order in
April 2021. Bestech did not provide abatement and
demolition services under the contract from the time
of the April 2021 stop work order through the expira-
tion of the contract. Bestech alleges, however, that it
kept its equipment at the project site in reliance on a
state employee’s representation that work would resume
in June 2021. Bestech contends further that, through
December 2021, the same state employee advised Bestech
approximately monthly that work would resume shortly
and that Bestech should keep its equipment on site. On or
about April 26, 2022, [the department] advised Bestech
that the project would not be performed under the con-
tract and would be put out to bid. The contract expired
on April 30, 2022. Bestech sought payment from [the
department] for idle equipment costs after April 2021.
On April 19, 2024, Bestech filed a demand for arbitration
with [the American Arbitration Association] pursuant
to § 4-61. The arbitration demand asserted, in pertinent
part, that Bestech had incurred costs of over $1.4 mil-
lion as a result of its inability to use the equipment that
remained at the project site after April 2021 and that ‘no
provision in Bestech’s contract with the [department] . . .
prohibits Bestech from recovering this cost, where the
[department] repeatedly directed Bestech to retain its
equipment on the site for over a year.’ ” The department
objected to and refused to submit to arbitration, raising
the defense of sovereign immunity.
Dept. of Administrative Services v. Bestech, Inc. of Connecticut
The department filed an application and verified com-
plaint in Superior Court seeking injunctive relief. Specifi-
cally, in its verified complaint, the department alleged
that Bestech’s claim in its arbitration demand does not
satisfy the limited sovereign immunity waiver under
§ 4-61 (a) because the claim raised therein did not arise
“under” the parties’ contract, as required for § 4-61 (a) to
apply, and because the parties’ contract expressly prohib-
its the recovery of idle equipment damages.4 The depart-
ment sought a temporary and/or permanent injunction
enjoining Bestech from conducting any proceedings in
connection with the arbitration or any other formal
claim proceedings pursuant to § 4-61 related to the con-
tract. Thereafter, Bestech filed a motion to dismiss the
department’s application for injunctive relief,5 argu-
ing that because its claim falls under the contract, the
department is not protected by sovereign immunity, and,
accordingly, the proper venue for the resolution of the
dispute is in arbitration. The court heard oral argument
on the department’s application for injunctive relief and
Bestech’s motion to dismiss on November 20, 2024. See
footnote 3 of this opinion.
In a December 17, 2024 memorandum of decision, the
court determined that the waiver of sovereign immu-
nity in § 4-61 (a) did not apply because Bestech failed to
establish that its claim fell under the parties’ contract.
The court granted the department’s application for an
4
Specifically, in its verified complaint, the department notes that the
contract states that the “[c]lient [a]gency’s representatives will monitor
the use of all labor and equipment. If the [c]lient [a]gency representa-
tives determine that equipment is not being utilized, such equipment
will not be paid for while remaining idle”; “[r]ental rates for all equip-
ment are to be computed at the job site only. Pricing will not include
trip, travel time, delivery time charges, or any other miscellaneous
charges pertaining to the rental of equipment”; and “[t]he [c]ontractor
shall not charge for equipment items not listed in the [e]xhibit B [p]rice
[s]chedule without prior written approval from the [c]lient [a]gency.”
5
“[T]he doctrine of sovereign immunity implicates subject matter
jurisdiction and is therefore a basis for granting a motion to dismiss.”
(Internal quotation marks omitted.) Blakeslee Arpaia Chapman, Inc.
v. Kiewit Infrastructure Co., 239 Conn. App. 127, 132, A.3d
(2026).
Dept. of Administrative Services v. Bestech, Inc. of Connecticut
injunction prohibiting Bestech from arbitrating its claim
against the department. This appeal followed.
We begin with the following relevant standards and
legal principles. “It is well established law that the state
is immune from suit unless it consents to be sued by
appropriate legislation waiving sovereign immunity in
certain prescribed cases . . . . The state legislature . . .
[however] possesses the authority to abrogate any gov-
ernmental immunity by statute that the common law
gives to the state and municipalities.” (Internal quotation
marks omitted.) Himmelstein v. Windsor, 304 Conn.
298, 307–308, 39 A.3d 1065 (2012).
“Prior to the enactment of § 4-61, suits against the
state by contractors were not countenanced because of
sovereign immunity. Individualized legislative authori-
zation to sue was required to be sought by petition before
an action could be brought against the state. . . . In 1957,
the legislature enacted § 4-61 to reduce the number of
petitions for permission to sue the state that it received
involving suits over state construction contracts. . . .
Another reason for allowing parties who had contracted
with the state to sue the state directly without seeking
legislative authorization was the hope that affording
contractors the right to sue would reduce the costs of
construction projects to the state by eliminating the
cost of the lengthy legislative authorization process that
was often built into state construction contracts. . . .
Accordingly, § 4-61 was intended to foster competitive
bidding for state construction contracts, which, in turn,
would make it more likely that the cost to the state of
such projects will be reduced. . . .
“In 1986, the legislature amended § 4-61 by adding
subsection (b), which provides that a party may file a
demand for arbitration with the American Arbitration
Association in lieu of filing a complaint in the Superior
Court. . . . The purpose of this amendment was to pro-
vide an alternative forum in which disputed claims aris-
ing under public works contracts could be resolved in a
simpler, speedier and more efficient manner. . . . As we
Dept. of Administrative Services v. Bestech, Inc. of Connecticut
repeatedly have observed, § 4-61 was intended to carve
out a narrow and limited exception to sovereign immu-
nity. . . . The scope of this exception must be construed
strictly, and is not to be extended, modified, repealed
or enlarged in its scope by the mechanics of [statutory]
construction.” (Citations omitted; internal quotation
marks omitted.) Dept. of Transportation v. White Oak
Corp., 287 Conn. 1, 11–13, 946 A.2d 1219 (2008).
On appeal, Bestech claims that the court improperly
determined that the waiver of sovereign immunity in
§ 4-61 (a) does not apply to its claim. In support of this
claim, Bestech makes several supporting arguments.
Preliminarily, it contends that the court misinterpreted
§ 4-61 (b) by substituting its judgment for that of the
arbitrator. In the alternative, it contends that its claim
falls under the contract as required by § 4-61 (a), reason-
ing that (1) the court improperly analyzed the merits of
its claim, (2) whether a contractual provision concerning
idle equipment damages exists in the contract has no
bearing on whether its claim falls under the contract, and
(3) the department’s assertion of contractual defenses
demonstrates that Bestech’s claim falls under the con-
tract. We address these arguments in turn.
As a preliminary matter, Bestech contends that the
court “improperly substituted its own judgment for
that of an arbitrator. Indeed, by interposing itself as the
adjudicator of Bestech’s contractual claims . . . [the] trial
court ignored the express provision contained in . . . § 4-61
(b) that per the contractor’s election, the dispute should
be resolved in arbitration.” The plain language of § 4-61
(b), however, makes clear that Bestech can only submit
a demand for arbitration if it first has a claim under
§ 4-61 (a). Specifically, § 4-61 (b) provides in relevant
part that, “[a]s an alternative to the procedure provided
in subsection (a) of this section, any such person, firm
or corporation having a claim under said subsection
(a) may submit a demand for arbitration of such claim
. . . .” (Emphasis added.) Our Supreme Court stated in
Dept. of Transportation v. White Oak Corp., supra, 287
Dept. of Administrative Services v. Bestech, Inc. of Connecticut
Conn. 1, that “the authority to file a demand for arbitra-
tion under § 4-61 (b) is contingent upon the existence
of a disputed claim or claims for which an action in the
Superior Courts properly could be filed under § 4-61
(a). Stated another way, waiver of the state’s sovereign
immunity under § 4-61 (a) is a condition precedent to
the arbitral submission in § 4-61 (b). . . . Accordingly,
whether an arbitration is barred by the doctrine of sov-
ereign immunity pursuant to § 4-61 (a) is a matter for
the courts, not for the arbitrators, to decide.” (Citation
omitted.) Id., 7 n.8.
Accordingly, in order to address Bestech’s contention
that its claim falls under the contract, we turn to the
language of § 4-61 (a), which provides that a party who
has contracted with the state for certain public works
contracts may bring an action against the state “in the
event of any disputed claims under such contract . . . .”6
(Emphasis added.) Whether § 4-61 (a) operates so as to
waive sovereign immunity with respect to Bestech’s claim
presents an issue of statutory interpretation, over which
our review is plenary. See Dept. of Transportation v.
White Oak Corp., supra, 287 Conn. 7. “General Statutes
§ 1-2z directs us first to consider the text of the statute
itself and its relationship to other statutes. If, after
examining such text and considering such relationship,
the meaning of such text is plain and unambiguous and
does not yield absurd or unworkable results, extratex-
tual evidence of the meaning of the statute shall not be
considered.” (Internal quotation marks omitted.) Id., 8.
We note that “[o]ur analysis is . . . specifically illumi-
nated by the well settled principle that when the state
waives sovereign immunity by statute a party attempting
to sue under the legislative exception must come clearly
within its provisions, because [s]tatutes in derogation
of sovereignty should be strictly construed in favor of
the state, so that its sovereignty may be upheld and not
narrowed or destroyed . . . . Where there is any doubt
about [the] meaning or intent [of a statute in derogation
6
See footnote 1 of this opinion.
Dept. of Administrative Services v. Bestech, Inc. of Connecticut
of sovereign immunity, it is] given the effect which
makes the least rather than the most change in sover-
eign immunity. . . . The state’s sovereign right not to
be sued may be waived by the legislature, provided clear
intention to that effect is disclosed by the use of express
terms or by force of a necessary implication. . . . Thus, a
party who seeks to litigate or arbitrate a disputed claim
arising under a public works contract bears the burden
of proving that the claim fits precisely within the nar-
rowly drawn reach of § 4-61.” (Citation omitted; internal
quotation marks omitted.) Id., 8–9.
Our Supreme Court in Dept. of Public Works v. ECAP
Construction Co., 250 Conn. 553, 737 A.2d 398 (1999)
(ECAP), stated that “[t]he legislature’s use of the word
‘under,’ [in § 4-61 (a)] as opposed to a broader term such as
‘related to,’ ‘connected with’ or ‘derived from,’ indicates
an intent to authorize only those disputed claims against
the state that fall directly under the contract itself.
To permit an action against the state for a claim that
is related to or connected with a public works contract
would expand the limited waiver of immunity inherent in
§ 4-61 beyond the statute’s plain language.”7 (Emphasis
added.) Id., 559.
Bestech argues that, because it alleged in its arbitra-
tion demand that the department breached the parties’
contract, its claim falls under the parties’ public works
7
Bestech argues that “ECAP has virtually no bearing on the instant
dispute. In ECAP, the defendant contractor was attempting to arbi-
trate a dispute related to a settlement agreement with the state, not
the underlying contract between the parties.” ECAP differs from the
present case in that it centers on whether a contractor, who claimed that
the state breached the parties’ public works contract, may compel the
state to arbitrate a dispute concerning an alleged settlement agreement
between the parties as to an underlying breach of contract claim. See
Dept. of Public Works v. ECAP Construction Co., supra, 250 Conn. 555.
Regardless of this distinction, ECAP, nonetheless, discusses the mean-
ing of the word “under” in § 4-61 (a), which meaning does not change
depending on the facts of the case or the circumstances of the parties.
Furthermore, in Bacon Construction Co. v. Dept. of Public Works, 294
Conn. 695, 987 A.2d 348 (2010), our Supreme Court stated that “ECAP
correctly interprets the scope of the waiver of sovereign immunity
contained in § 4-61 . . . .” Id., 715.
Dept. of Administrative Services v. Bestech, Inc. of Connecticut
contract and that the court improperly analyzed the mer-
its of its claim when it looked to the contractual language
cited in Bestech’s arbitration demand to determine if its
claim fell under the contract. Bestech’s argument relies
on the premise that, in determining whether a claim is
under the contract, courts may not look to the contractual
language upon which the party making a demand for
arbitration § 4-61 (b) relies in order to determine if that
claim falls under the contract. As stated by this court in
Sagamore Group, Inc. v. Commissioner of Transporta-
tion, 29 Conn. App. 292, 614 A.2d 1255 (1992), however,
“[w]e must . . . keep in mind the general principles con-
trolling the interpretation of statute’s waiving the state’s
sovereign immunity. It is well established that statutes
in derogation of the state’s immunity from suit should
be strictly construed so that the state’s sovereignty may
not be undermined. . . . Under that rule of construction,
[a party who seeks to litigate or arbitrate a disputed
claim] must prove . . . that there is a precise fit between
the narrowly drawn reach of the relevant statute, § 4-61,
and the contractual language upon which [that party]
depends.” (Citations omitted; emphasis added; internal
quotation marks omitted.) Id., 300–301.
Accordingly, given that (1) Bestech bears the burden
of proving that its claim “fits precisely within the nar-
rowly drawn reach of § 4-61”; Dept. of Transportation
v. White Oak Corp., supra, 287 Conn. 9; (2) immunity is
legislatively waived under § 4-61 (a) only for claims that
“fall directly under the contract itself”; Dept. of Public
Works v. ECAP Construction Co., supra, 250 Conn.
559; and (3) Bestech must prove “that there is a precise
fit between the narrowly drawn reach of the relevant
statute, § 4-61, and the contractual language upon which
[it] depends”; Sagamore Group, Inc. v. Commissioner of
Transportation, supra, 29 Conn. App. 301; it is evident
that we may look to the contractual language relied on
by Bestech in order to determine if its claim falls under
§ 4-61 (a).
With these principles in mind, we turn to the con-
tractual provisions cited by Bestech in support of its
Dept. of Administrative Services v. Bestech, Inc. of Connecticut
argument that its claim falls under the contract.8 In
its arbitration demand, Bestech cited five contractual
provisions concerning payment for accepted goods or
services, reimbursement for performance rendered,
withholding of payment if Bestech has not performed,
the department’s discretion to set off costs or expenses
incurred as a result of unexcused nonperformance, and
price schedules for services and commodities.9 Bestech
argues on appeal that “the absence of a provision in the
contract which explicitly permits Bestech to recover
damages against the state for ‘idle equipment’ is of
no consequence . . . .” It, however, is of consequence
that none of the general contractual provisions cited
by Bestech “even arguably”—as the trial court framed
8
Bestech also argues that the following “additional factors,” cited by
the trial court in support of its conclusion that Bestech’s claim does not
arise under the contract, are not dispositive: (1) Bestech’s calculation
of claimed damages does not depend on any provision in the contract;
(2) Bestech’s arbitration demand incorporates by reference Bestech’s
prior notice of claim, to which was attached a correspondence with the
department that claims damages through June 2022, which postdates
the April 2022 expiration of the parties’ contract; and (3) Bestech’s
arbitration demand alleges breach of implied contractual obligations. We
agree that none of these additional factors is dispositive. Nevertheless,
that does not impact our conclusion, made in the exercise of our plenary
review, that Bestech’s claim does not fall within the scope of § 4-61 (a).
9
Specifically, in its demand for arbitration, Bestech cited the follow-
ing contractual provisions in support of its claim: (1) “payment for all
accepted [g]oods or [s]ervices shall be due within forty-five (45) days
after acceptance of the [g]oods or [s]ervices”; (2) “[t]he [c]lient [a]gency
shall, within forty-five (45) days of the effective date of [t]ermination,
reimburse the [c]ontractor for its [p]erformance rendered and accepted
by the [c]lient [a]gency in accordance with [e]xhibit A, in addition to
all actual and reasonable costs incurred after [t]ermination in complet-
ing those portions of the [p]erformance which the notice required the
[c]ontractor to complete”; (3) “[i]f [the department] believes that the
[c]ontractor has not performed according to the [c]ontract, the [c]lient
[a]gency may withhold payment in whole or in part pending resolution
of the [p]erformance issue, provided that [the department] notifies the
[c]ontractor in writing prior to the date that the payment would have
been due in accordance with [e]xhibit B”; (4) “[t]he [s]tate, in its sole
discretion, may setoff . . . any costs or expenses that the [s]tate incurs
resulting from the [c]ontractor’s unexcused nonperformance under the
[c]ontract”; and (5) on the basis of the price schedule in exhibit B, the
state has failed to pay Bestech at the agreed upon rates.
Dept. of Administrative Services v. Bestech, Inc. of Connecticut
it—provides for the payment for equipment left idle
during a period in which no work was being performed.
Indeed, the contract expressly precludes recovery for
equipment that is left idle.
This is not a situation in which a contractor cites con-
tractual provisions arguably providing for relief under
the contract. Rather, Bestech cites contractual provisions
that relate, in general, to the payment for services ren-
dered even though its claim does not concern nonpayment
for services or commodities and even though the depart-
ment paid Bestech in full for all work performed prior
to the stop work order, after which order no abatement
or demolition services were performed. We agree with
the trial court that “the contractual provisions cited in
Bestech’s arbitration demand are general provisions,
which require, for example, payment for contracted
goods and services. Given the necessarily strict construc-
tion of § 4-61 that this court must apply, the court is not
persuaded that simply invoking the payment, termina-
tion, breach and other general provisions in a public
works contract with the state means that such a claim
against the state ‘arises directly under’ the contract. If
that were the case, then any claim framed as a failure
to pay could be brought against the state, even where
the contract itself neither includes a provision permit-
ting or requiring the specific payment at issue nor is the
subject of a good faith dispute about what a particular
provision means.”
The central focus of Bestech’s claim is its alleged
reliance on oral representations. Bestech claimed in
its demand that it kept equipment on the project site
in reliance on the representations of an agent of the
department that the project would resume on June 1,
2021, and sought $1,428,388.75 in additional com-
pensation arising from its alleged inability to use the
equipment it mobilized to the property site. Specifi-
cally, in its demand for arbitration, Bestech relies on its
assertion that, “[b]etween April 8, 2021, and April 26,
2022, on an approximately monthly basis, [an authorized
Dept. of Administrative Services v. Bestech, Inc. of Connecticut
representative of the department, Michael Sanders]
informed Bestech that work was expected to resume
shortly and that Bestech should keep its equipment on
the project site in anticipation of an imminent resump-
tion of work. . . . Contrary to [Sanders’] representation,
work on the project did not resume at any point prior to
April 26, 2022. . . . On April 26, 2022, after more than a
year of delay, Bestech was informed by the [department]
that the project would not be finished under Bestech’s
term contract and that the remaining work would be
put out to bid.” Bestech, however, cited no contractual
provisions that even arguably provide for payment for
equipment left idle on the basis of reliance on oral rep-
resentations that work would resume shortly.10 Because
Bestech has cited no contractual provisions relating to
payment based on its reliance on oral representations,
such reliance—although “related to” the public works
contract—does not fall under it. See, e.g., Dept. of Public
Works v. ECAP Construction Co., supra, 250 Conn. 559
(“The legislature’s use of the word ‘under,’ [in § 4-61
(a)] as opposed to a broader term such as ‘related to,’
‘connected with’ or ‘derived from,’ indicates an intent
to authorize only those disputed claims against the state
that fall directly under the contract itself. To permit an
action against the state for a claim that is related to or
connected with a public works contract would expand the
limited waiver of immunity inherent in § 4-61 beyond
the statute’s plain language.”).
Bestech relies on the Superior Court case of Walter
Kidde Constructors, Inc. v. State, 37 Conn. Supp. 50,
434 A.2d 962 (1981), written by former Chief Justice
10
Bestech asserts in its statement of issues on appeal that the trial
court erred in determining that its claim sounds in detrimental reliance
and/or promissory estoppel and thus did not fall under the contract.
Bestech does not include this in the argument section of its brief. Despite
this omission; Bongiorno v. J & G Realty, LLC, 211 Conn. App. 311,
323, 272 A.3d 700 (2022) (“[w]he[n] an issue is merely mentioned, but
not briefed beyond a bare assertion of the claim, it is deemed to have
been waived” (internal quotation marks omitted)); we note that we do
not read the trial court’s decision as determining that Bestech’s claim
sounds in detrimental reliance and/or promissory estoppel.
Dept. of Administrative Services v. Bestech, Inc. of Connecticut
Charles S. House, for the proposition that a contractor
may assert a claim against the state for damages incurred
as a result of delays caused by the state. In Walter Kidde
Constructors, Inc., the general contractor plaintiffs
brought an action seeking, inter alia, damages due to
delays arising from the state’s breaches of the parties’
construction contract, which included: failing to give the
plaintiffs access to the construction site for an unreason-
ably long period of time beyond the date on which the
plaintiffs were required by the contract to commence
work; by providing defective, inadequate and incomplete
plans and specifications; by issuing “ ‘hold orders’ ” that
remained in effect for inordinately long periods of time;
by failing to process change order proposals in a prompt
and timely manner; by permitting interference with
the plaintiffs’ work; by unreasonably and improperly
ordering acceleration of the plaintiffs’ work schedule;
by failing to approve shop drawings in a timely manner;
by unreasonably and improperly forcing the plaintiffs
to perform work out of sequence; and by failing to make
reasonable and timely inspections and reasonable efforts
promptly to resolve disputes. Id., 52–53. Specifically,
the plaintiffs were liable for a penalty of $2500 for each
day that construction ran beyond 1100 days and, in that
case, construction required more than 1977 days. Id.,
51–52. The trial court rejected the state’s defense of
sovereign immunity under § 4-61, reasoning that “[b]y
the provisions of § 4-61 the state has waived the defense
of sovereign immunity in such cases as this arising out
of contracts with the state ‘for the design, construction,
repair or alteration of any state . . . building or other
public works.’ The waiver permits ‘any party’ to a public
works contract with the state of Connecticut to bring
suit for the determination of ‘any disputed claims under
such contract.’ The claims asserted by [the plaintiffs]
are such claims.” Id., 67. In analyzing the merits of the
claims, the court noted that “[a] computation of the con-
sequent damages to [the plaintiffs] involves damages of
two sorts: (a) delay damages due to the extended periods
of field and home office overhead and (b) damages due to
Dept. of Administrative Services v. Bestech, Inc. of Connecticut
disruption, loss of productivity, inefficiency, accelera-
tion and escalation. Both elements of damage are well
recognized as compensable delay damages recoverable
by a contractor. See Southern New England Contract-
ing Co. v. State, 165 Conn. 644, 660–63, 345 A.2d 550
(1974) and cases cited therein; see also annot., 115 A.L.R.
65, ‘Right of Building or Construction Contractor to
Recover Damages resulting from Delay Caused by the
Default of Contractee.’ ” Walter Kidde Constructors,
Inc. v. State, supra, 82.
Bestech contends that, “[l]ike the plaintiff[s] in Walter
Kidde [Constructors, Inc.], Bestech has asserted a claim
against the [department] for damages resulting from the
[department’s] failure to provide proper access to the
project site and the [department’s] issuance of multiple
‘hold orders.’ Per Walter Kidde [Constructors, Inc.],
Bestech is entitled to bring such a claim against the
[department] pursuant to . . . § 4-61. Bestech’s ability
to do so is not dependent on the existence of a provi-
sion in the contract governing ‘idle equipment’ claims;
rather, such claims are ‘well recognized as compensable’
in actions against the [department] brought pursuant
to § 4-61.”
The issue raised in the present appeal, however, does
not depend on whether Connecticut recognizes the recov-
ery of delay damages11 but, rather, whether Bestech’s
claim for damages for equipment that it left idle during
a period in which no work was performed in reliance on
oral representations fell under the parties’ contract. In
Walter Kidde Constructors, Inc., the plaintiffs claimed
that the actions of the state in failing to provide access
to the project site and in otherwise delaying the plain-
tiffs’ completion of construction constituted breaches
of the parties’ contract. In the present case, by contrast,
Bestech has not cited any contractual provisions provid-
ing for recovery based on oral representations that work
11
Cases such as Southern New England Contracting Co. v. State, supra,
165 Conn. 644, which does not mention sovereign immunity, make
clear that delay damages, in general, are recoverable. See id., 660–63.
Dept. of Administrative Services v. Bestech, Inc. of Connecticut
would resume shortly. More significantly, the contract in
Walter Kidde Constructors, Inc., required the plaintiffs
to pay a penalty of $2500 for each day that construction
ran beyond 1100 days and, in contrast, the abatement
and demolition services contract in the present case did
not impose such a penalty. Rather, the parties in the
present case stipulated that the department paid Bestech
for work it performed until the stop order and that the
department informed Bestech that the project would not
be performed under the contract and would be put out to
bid. Accordingly, for the foregoing reasons, we do not
consider Walter Kidde Constructors, Inc., to constitute
persuasive authority under the circumstances of the
present case, as it is inapposite.
Lastly, Bestech contends that the department’s “asser-
tion of contractual defenses” demonstrates that its claim
arises under the contract.12 By this argument, Bestech
seeks to prove that its claim falls directly under the
contract by examining issues raised by the department,
which include sovereign immunity and that the contract
expressly prohibits the recovery of idle equipment dam-
ages.13 To the extent that these issues are inconsistent,
Connecticut allows parties to assert alternative and/or
inconsistent theories. See, e.g., Campbell v. Plymouth,
74 Conn. App. 67, 76, 811 A.2d 243 (2002). More sig-
nificantly, the burden rests with Bestech to demonstrate
12
It is unclear at what point in the proceedings that Bestech argues that
the department raised contractual defenses. As stated in the parties’
stipulation, in a letter responding to Bestech’s demand for arbitration,
the department denied Bestech’s idle equipment claim pursuant to the
terms of the contract. Additionally, according to the stipulation, in
response to the demand for arbitration, the department objected to and
refused to submit to arbitration at the outset and raised the defense of
sovereign immunity. In the department’s complaint, it raises the issue of
sovereign immunity and that the contract prohibits the recovery of idle
equipment damages. It does not matter in our analysis at what point the
department raised the issue because that does not alter Bestech’s burden.
13
One such contractual provision cited by the department states that
“[t]he [c]lient [a]gency’s representative will monitor the use of all labor
and equipment. If the [c]lient [a]gency representatives determine that
equipment is not being utilized, such equipment will not be paid for
while remaining idle.”
Dept. of Administrative Services v. Bestech, Inc. of Connecticut
that there exists a precise fit between the narrowly drawn
reach of the relevant statute, § 4-61, and the contractual
language on which Bestech depends. Sagamore Group,
Inc. v. Commissioner of Transportation, supra, 29 Conn.
App. 301. This, however, Bestech has not done.
In sum, we conclude that Bestech’s claim did not fall
within the limited waiver of sovereign immunity in § 4-61
(a). Accordingly, the court properly enjoined arbitration
of Bestech’s claim.
The judgment is affirmed.
In this opinion the other judges concurred.