Veolia Water Technologies, Inc. v. Antero Treatment LLC.

2026 CO 52. No. 25SC21. Economic Loss Rule—Interrelated Contracts—Fraudulent Inducement.

June 23, 2026

In this case concerning a dispute that followed a series of contracts between two commercial entities, the supreme court granted certiorari to consider whether the economic loss rule bars a fraud claim when the parties were in a contractual relationship, the fraud claim allegedly sought the same relief as a breach of contract claim, and the fraud allegedly concerned a party’s performance under the contract.

The court concluded that the economic loss rule does not bar the fraud claim in this case for two reasons. First, the interrelated contracts doctrine does not apply to a series of contracts between two parties when each contract represents a stand-alone transaction. Second, the fraud alleged here occurred prior to the formation of the pertinent contract and, on the facts presented, induced the other party to sign that contract.

Accordingly, the court affirmed the court of appeals division’s decision below, albeit on other grounds, and remanded this case with instructions to return the case to the trial court for a determination of the reasonable attorney fees to be awarded to the prevailing party under the pertinent contract’s fee-shifting provision.