Backus Associates, Inc. v. State, Dept. of Natural Resources

352 N.E.2d 663, 47 Ohio Misc. 11, 1 Ohio Op. 3d 211, 1976 Ohio Misc. LEXIS 44
CourtOhio Court of Claims
DecidedApril 8, 1976
DocketNo. 75-0325
StatusPublished
Cited by2 cases

This text of 352 N.E.2d 663 (Backus Associates, Inc. v. State, Dept. of Natural Resources) is published on Counsel Stack Legal Research, covering Ohio Court of Claims primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Backus Associates, Inc. v. State, Dept. of Natural Resources, 352 N.E.2d 663, 47 Ohio Misc. 11, 1 Ohio Op. 3d 211, 1976 Ohio Misc. LEXIS 44 (Ohio Super. Ct. 1976).

Opinion

Troop, J.

The Backus Associates, Inc., entered into a contract with the state of Ohio, Department of Natural Resources, to do work, supply materials and furnishings for the interior of Salt Fork State Park Lodge, and auxiliary units, located in Guernsey County, Ohio.

A copy of the contract “Contract III — Lodge & UNits —Interior FurNishiNgs,” wás' attached to the complaint and' indicates that the contract was executed August 22, 1969. Article 6 of the contract provides that the work contemplated, by the contract was to be completed within seventeen months after written notice to proceed with the work. The notice to proceed was dated August 27,1969.

'The complaint further alleges that the completion date was extended 189 calendar days by the Director of the Department of Natural Resources without the approval ■or consent of Backus Associates. The 189 day extension is admitted by the defendant (answer paragraph 7). The plaintiff claims that there was a further delay of another year which delay it did not cause (complaint paragraph 8). Defendant unqualifiedly denies this claim. (Answer paragraph 8.)

Delay, caused by the owner, or conferactee, is the underlying, basis for the complaint of Backus Associates. Plaintiff insists that it Avas ready and able to complete the contract within the prescribed 17 months and that the 189 calendar day delay and the additional year delay increased its materials costs 5-%% ; increased its labor costs 15-17%, and added overhead and loss of profits. Plaintiff claims the amount of increased material and labor costs, as $45,-187.80 and the amount of. added overhead átíd loss of profits as $175,187,80. Further, plaintiff claims it provided certain items not called for in the contract and incurred extra labor and materials costs for these items.

Attached to plaintiff’s complaint is “Schedule A” [13]*13■which itemizes certain materials and labor costs for . items plaintiff claims were not required by the terms of the. contract and which were later supplied by plaintiff at the request of the Chief Engineer for the department. The total amount claimed for the additional items listed in ‘ ‘ Schedule A” is $36,448.28. This “Schedule A” should not be confused with a paper denominated “Exhibit ‘A’ ” which is also attached to the complaint. “Exhibit ‘A’ ” dated July 24,1969, is part of the contract.

In total plaintiff seeks $256,823.88. A substantial portion of this amount rests upon claimed delay caused by the state of Ohio. Because of the importance of delay, attention is directed to some basic law relative to contractual delay. In a recent unpublished decision of the Tenth District Court of Appeals, in John P. Novatny Electric Company v. State of Ohio, Department qf Public Works, Case No. 75AP-306, issued December 2, 1976, the court, at-page 2929, quoted from, 13 Am. Jur. 2d, page 53 (Building and Construction Contracts, Section 50), as follows:

“In the absence of contractual provisions to the contrary, a building or construction contractor has a right to recover damages resulting from a delay caused by the default of the eontractee. * * * In order for a contractor to recover in such a case, however, it must be shown that there was a default by the eontractee, that this caused a delay in the work of the contractor, and that the contractor was damaged by the delay. * * * ”

Ohio decision law follows this basic rule. One decision of the Ohio Supreme Court is particularly noteworthy. In Visintine & Co. v. New York, Chicago & St. Louis Rd. Co. (1959), 169 Ohio St. 505, the Supreme Court held that the state of Ohio owed certain duties to the contractor. The court, at page 508, speaks as follows :

“Among those duties was that of providing plaintiff with a site on which it could perform its work without hindrance ■ or delay and of doing those things which it .promised to do at such time and in such manner as would not hinder or delay the plaintiff. ”

In summary, for the state of Ohio to be liable it must be shown that the state owed a duty, that the state breached [14]*14the duty and that the breach was the immediate cause of plaintiff’s damage. Applied to this case this means that if-the breach — the hinderance or delay, if any — is not directly the fault of the state there is no liability. In a more positive statement this means that if there is no cont ractual provision to the contrary, the contractor has a right to recover damages from the contractee, the state of Ohio, for a delay caused by the state of Ohio. Finally, it must be noted that the burden of proof is upon the contractor.

The basic document upon which the contract of Backus with the state of Ohio is predicated is in evidence marked Joint Combined Exhibit No. 2. (Hereafter trial exhibits will be referred to by complete name, e. g., “Joint Exhibit No. 2 or as J. Ex. 2.”) The documents concerning delays are found in J. Ex. 2 at G. C. 4, paragraph 4. The contract provides that delays due to the fault of a contractor that result in his work not being timely completed subject the contractor to liquidated damages at a per diem.fate (J. Ex. 2 at G. C. 1 para. 4(a)) ;that an extension of time could be granted the contractor and; that all claim for extensions of time for delays not caused by the contractor must be made in writing'. . by the Contractor to. the Engineer within three . . . days of the occurrence of such alleged delay.” (J. Ex. 2 at G. C. 1 para. 4(c).)

The contract contains other pertinent provisions. The contractors are charged with the development of. actual work scheduling under the “critical path scheduling” method.' Under this method the consultant, here an architectural firm, develops a basic schedule and the contractors are required'to communicate with the consultant, and one another, and actually develop the Avork schedule. Tn addition, this contract specifies the starting time and the completion time. In this case Backus was given notice .to proceed on August 27, 1969, and the completion date under the contract was “. . . within seventeen . . . months after written notice to proceed with the work.” (J. Ex; 3, page 2 at para. 6, also see J.‘ Ex. 2 at G. C. 15 para.: 2L) "

Mr. Harry Backus, president Avjis jits principal, witness. He is experienced in the field of interior design having rendered-service in'His'’field feirty-[15]*15eight years during which time - he de.signed and created the interiors of many public buildings throughout the country.

Mr.. Backus testified that there was delay in the completion of Salt Fork State Park Lodge and auxiliary buildings. ... He testified'that-it took'1322 days, or more .than three years, from the date of award to finish Salt Fork. The originally designated length of construction was seventeen months, or approximately 510 days. When.. asked as to the why of the delay he suggested that thére was a continual delaying process by all.parties. When pressed on cross-examination; as to.thq cause of delay, the witness suggested that no. one knew the cause and further suggested that delay occurred before he got on the job. When, his attention was directed to possible strikes as causes .for delay, the witness stated that he thought there were some strikes before .and after he arrived on the job, but added that he had no knowledge of the causes for the. delaying strikes. ; ■

Mr. David A.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Julian Speer Co. v. Ohio State University
680 N.E.2d 254 (Ohio Court of Claims, 1997)
Turner Brooks of Ohio, Inc. v. Bowling Green State University
554 N.E.2d 956 (Ohio Court of Claims, 1989)

Cite This Page — Counsel Stack

Bluebook (online)
352 N.E.2d 663, 47 Ohio Misc. 11, 1 Ohio Op. 3d 211, 1976 Ohio Misc. LEXIS 44, Counsel Stack Legal Research, https://law.counselstack.com/opinion/backus-associates-inc-v-state-dept-of-natural-resources-ohioctcl-1976.