Anthony M. Meyerstein, Inc. v. United States

137 F. Supp. 427, 133 Ct. Cl. 694, 1956 U.S. Ct. Cl. LEXIS 52
CourtUnited States Court of Claims
DecidedJanuary 31, 1956
DocketNo. 49531
StatusPublished
Cited by10 cases

This text of 137 F. Supp. 427 (Anthony M. Meyerstein, Inc. v. United States) is published on Counsel Stack Legal Research, covering United States Court of Claims primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Anthony M. Meyerstein, Inc. v. United States, 137 F. Supp. 427, 133 Ct. Cl. 694, 1956 U.S. Ct. Cl. LEXIS 52 (cc 1956).

Opinion

LaRAMORe, Judge,

delivered the opinion of the court:

Plaintiff claims damages arising out of alleged breaches by defendant of a lump sum equipment contract. This contract called for the design and construction by plaintiff, according to defendant’s specifications, of two 125-ton ocean going cranes.

Plaintiff contends that it was misled by the plans and specifications furnished by defendant as to the quantity of steel it would have to furnish to construct the cranes. It also contends that defendant required “illegal changes” in the contract which it claims also resulted in an overrun of steel used.

This case arises out of a Navy Department contract for the construction of two 125-ton floating cranes.

Each crane was to be constructed so as to incorporate ocean-going characteristics and the ability to replace 16-inch gun barrels on battleships operating against the enemy in remote areas of the Pacific.

The Bureau of Yards and Docks of the Navy Department was designated to administer the “125 ton floating crane project” including the preparation of invitations to bid.

[696]*696Plaintiff was invited to bid on this so-called 125-ton floating crane project by an invitation to bid dated August 23, 1943. It was required that the bids in response thereto reach the Bureau by October 1, 1943. Accompanying the invitation to bid were the specifications and two schematic or outline drawings of the cranes and pontoons to be constructed. On one of the outline drawings there appeared a table entitled “Crane Data” which purported to show “estimated” and “approximate” weights of the component parts of the crane. Aside from the weights and counterweights and ballast, the table showed the total estimated weight of the crane to be 1,222,000 pounds, and of the pontoon to be 2,180,000 pounds.

By letter dated October 8, 1943, the plaintiff submitted its bid and offered to do the work, complete in accordance with the specifications and outline drawings accompanying the invitation to bid, at a price of $1,158,600. The plaintiff’s hid further stated in pertinent part as follows:

We are attaching with our bid duplicate copies of our drawings Nos. W-l, W-2, W-3, W-4, W-5 and W-6, illustrating assembly drawings of the crane, barge and stability calculations and weights of the different parts involved.
We believe that we can make delivery of the first floating crane complete in eight months and the. second two months thereafter * * *.

Plaintiff, by drawing No. W-5 accompanying the bid, purported to show the total weight of the proposed crane superstructure together with the rotating platform to be 1,200,054 pounds, exclusive of the counterweights.

In fact, however, the “W” drawings, even though drawn to scale, did not state the sizes and weights of the various members in the parts and sections of the crane. As shown on their faces they were drawings of the “general” assembly. The stability calculations in W-5 drawings concerned large segments and sections of the crane, and did not purport to cover the specification stresses on individual parts which would be determinative of weight.

By letter dated October 15, 1943, the Navy Department .accepted the plaintiff’s bid, assigned contract number NOy-[697]*6976303, gave notice to proceed and further stated in pertinent part as follows:

* * * The cranes shall be delivered, one on June 15,, 1944 and one on August 15,1944. The formal contract shall be executed on the Bureau’s standard form of lump sum equipment contract with such modifications therein as the Chief of this Bureau may determine proper under the particular circumstances, including the standard termination provisions which are also applicable to= this notice of acceptance and your right to proceed thereunder * * *.

The plaintiff and the defendant thereafter entered into a formal written contract, antedated October 18,1943, but executed by the plaintiff on January 12,1944, and by the Navy Department on January 19, 1944. The contract named the-Chief, Bureau of Yards and Docks, as the contracting officer, and further provided in pertinent part as follows:

ARTICLE 1. (a) Subject matter of purchase. — The Contractor shall furnish and deliver f. o. b. contractor’s Slant two floating cranes as called for by specification to. 11264 * * *.

Specification No. 11264 was the same specification that accompanied the invitation to bid.

By letter dated March 30,1944, the Navy Department terminated the provisions of the contract for fabrication and shop assembly of the two pontoons. Under date of July 29,. 1946, the Chief, Bureau of Yards and Docks, issued a change order, accepted by the plaintiff on August 6, 1946, which allowed an increase in the contract price of $21,944.12 on account of an increase in the width of the pontoons, a reduction of $80,700 because of termination of fabrication and shop assembly of pontoons and various minor increases and decreases which resulted in a net decrease in the contract price of $59,992.61.

The plaintiff completed the fabrication of the two cranes in the latter part of July 1945, and they were accepted by the Navy Department.

When completed, each of the crane superstructures with rotating platforms weighed (exclusive of counterweights) 1,678,783 pounds.

[698]*698Mr. Meyerstein, president of the plaintiff company, long before and during the contract period in question, understood that the Navy had not developed detailed designs and plans for constructing the cranes, and that the company awarded the contract would have to develop' its own design to meet the Navy specifications. Paragraph 1-12 of the specifications accompanying the invitation to bid clearly showed that the design of the cranes was to be performed by the successful bidder. The design requirements for the crane boom and rotating platform, as stated in paragraph 4-01 of the specifications, imposed three conditions, namely, (1) operational requirements, (2) crane roll stress due to 1/20 trochoid wave with boom extended, and (3) stresses due to wind action. There was ample information contained in the specifications and Navy drawings to enable the plaintiff to prepare a bid, and the time allowed for preparation-and submission thereof was reasonable and sufficient. No language regarding overrun of weight was requested by plaintiff or included in the contract although plaintiff was aware of this possible eventuality. Plaintiff carefully reviewed the proposed contract. The Navy specification drawings upon which plaintiff claims to have relied in arriving at its bid price were merely outline sketches which would not permit the calculation of stresses, sizes and exact weights of the various members of the cranes and, furthermore, plaintiff should have realized that it could not reasonably rely on the weight estimates contained in the specification drawings prepared by defendant.

The specifications used in the invitation to bid were the same as the specifications incorporated into the executed contract. Plaintiff’s “W” drawings, submitted with its bid proposal were never considered to be a part of the contract. In compliance with specification 1-12 plaintiff prepared and submitted to defendant detailed design drawings.

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Bluebook (online)
137 F. Supp. 427, 133 Ct. Cl. 694, 1956 U.S. Ct. Cl. LEXIS 52, Counsel Stack Legal Research, https://law.counselstack.com/opinion/anthony-m-meyerstein-inc-v-united-states-cc-1956.