Boman v. Austin Co.

469 P.2d 199, 2 Wash. App. 581, 1970 Wash. App. LEXIS 1165
CourtCourt of Appeals of Washington
DecidedMay 4, 1970
DocketNo. 95-40219-1
StatusPublished
Cited by2 cases

This text of 469 P.2d 199 (Boman v. Austin Co.) is published on Counsel Stack Legal Research, covering Court of Appeals of Washington primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Boman v. Austin Co., 469 P.2d 199, 2 Wash. App. 581, 1970 Wash. App. LEXIS 1165 (Wash. Ct. App. 1970).

Opinion

Williams, J.

The initial purpose of this action was the recovery of damages for personal injuries sustained in an industrial accident by plaintiff Boman. The issue on appeal is drawn between F. T. Crowe & Company, Inc., appellant, [582]*582and American Monorail Company, respondent, over an indemnity provision claimed by respondent to have been incorporated by reference in its subcontract with appellant. The superior court entered a summary judgment obligating appellant to indemnify respondent. From this judgment it appeals. The controversy arose in this way:

The Austin Company (Austin), as prime contractor on construction work for Boeing Company, subcontracted a part to respondent, which in turn subcontracted a part of its work to appellant. Boman, an employee of appellant, was injured on the job as a result of the negligence of an employee of Austin, which he sued. Austin complained over against respondent, praying that it be required to defend the action and pay any judgment that might be entered in favor of Boman. Respondent then tendered the defense to appellant and upon its refusal, joined appellant as a party defendant, asking that it be required to defend the action and also that it indemnify respondent in the event of judgment for Boman.

A summary declaratory judgment was entered in favor of Austin against respondent, requiring it to defend the action and pay any judgment and costs. Following this, the court adjudged appellant responsible for the defense of Boman’s action and any judgment which he might gain. Appellant and respondent each' then paid $20,000 to Boman, who withdrew from the case. The stipulation of the parties, arranging for the payment to Boman, also provided that appellant would appeal from the part of the summary judgment which made it ultimately liable for Boman’s injuries. It was further stipulated that if successful on the appeal, appellant would be reimbursed $20,000 and if unsuccessful, would reimburse respondent a like sum.

Appellant bases its assignments of error on four propositions:

1) There was no indemnity contract between it and respondent.

2) If there was an indemnity agreement, it was unenforceable as being void under the Industrial Insurance Act.

[583]*5833) If there was an indemnity agreement, it was void under the provisions of RCW 4.24.115, which declares certain indemnity contracts to be void.

4) The summary judgment was improper because there was a material issue of fact.

The relationship between respondent and appellant developed in a series of letters and documents commencing with a letter appellant wrote to respondent on February 12, 1966, as follows:

Gentlemen:
We are enclosing the original, duplicate and tripcZate copies of the Austin Company purchase order 6445-1060 and lump-sum subcontract. You are to sign and return the duplicate and Origional to the Austin Company, P. O. Box 70, Auburn, Washington. Any item in the purchase order and or subcontract that you feel objectionable should of course be clarified. You can do this best by letter and if we get a copy of your letter, we would make sure you get a prompt and accurate reply.
You will also find the supplement to and general conditions surrounding the conditions of the subcontract. This is their standard and in the past we have had little difficult with these conditions, however you of course must satisify yourself concerning these items.
Three copies of The Austin Company for for certificates of Insurance are attached. If you prefer you can renly to The Austin Company that F. T. Crowe Co inc will be doing the errection on this project and our insurance certificates are on file with their office. For your information our coverage is adequate for this coverage and the present coverage expires in October 1966.
We trust you find the enclosed to be complete and if we can help with clarifications, we will be willing to do so.
Yours truly,
F. T. Crowe & Co. Inc.
Mechanical Division
Ward L. Dunbar

The subcontract between Austin and respondent referred to in the letter consisted of two parts: a 6-page purchase [584]*584order No. 6445-1060 on an Austin Company form listing materials to be supplied and work to be accomplished, followed by certain typewritten conditions, and a “Lump Sum Contract.” One of the typewritten requirements of the purchase order was compliance with article 8 of this “Lump Sum Contract” which obligated respondent to fully comply with all workmen’s compensation laws, to indemnify and save Austin harmless in suits for personal injuries and to supply Austin with certificates of insurance showing the coverages specified therein. Another typewritten provision was as follows:

Should the subcontractor in turn, sublet any portion of the work covered by this order in an amount in excess of $500.00, approval shall be obtained in writing from The Austin Company. All conditions of this order and Subcontract will apply to Subcontractor’s subcontractors who will be required to carry the same amounts of insurance as stipulated and shall show evidence of being so covered before proceeding with the work.

(Italics ours.)

On February 28, 1966, Austin was advised by respondent in writing with a copy to appellant that, among other details, Mr. Jim Wickman had been designated by appellant as its project engineer for the job. This correspondence also called attention to appellant’s letter of February 12, 1966, and the comments therein regarding insurance.

On March 9, 1966, Austin granted respondent’s request for permission to sublet a part of the work to appellant.

On March 28, 1966, appellant submitted its proposal to respondent as follows:

Spar and Skin Mill Building 17-06
Specification Section 20-D
Receive and install runway rail, electrification, crossover bridge cranes, carriers, hoists, Sick Bay equipment and crane system as listed on Proposal No. 615, dated February 2, 1966 for the sum of......................$135,855.00
[585]*585Process Building 17-05
Specification Section 20-C
Receive and install crane and monorail systems No. 1 thru 22 as listed on Proposal 615A for the sum of............................. 40,370.00
Total for both buildings.......................$176,225.00
On April 12, 1966, respondent sent its purchase order as follows:
Item of Erection of Equipment in Spar and Skin Mill Bldg........................$135,855.00
Item of Erection of Equipment in Process Bldg................................. 40,370.00
Above in Accord with Proposal Dated 3-28-66

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Related

Chadwick v. Northwest Airlines, Inc.
654 P.2d 1215 (Court of Appeals of Washington, 1982)

Cite This Page — Counsel Stack

Bluebook (online)
469 P.2d 199, 2 Wash. App. 581, 1970 Wash. App. LEXIS 1165, Counsel Stack Legal Research, https://law.counselstack.com/opinion/boman-v-austin-co-washctapp-1970.