Caribbean Engineering Co. v. Municipality of Ponce

60 P.R. 26
CourtSupreme Court of Puerto Rico
DecidedFebruary 25, 1942
DocketNo. 8289
StatusPublished

This text of 60 P.R. 26 (Caribbean Engineering Co. v. Municipality of Ponce) is published on Counsel Stack Legal Research, covering Supreme Court of Puerto Rico primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Caribbean Engineering Co. v. Municipality of Ponce, 60 P.R. 26 (prsupreme 1942).

Opinion

Me. Justice Todd, Jb.,

delivered the opinion of the court.

The Municipality of Ponce, with the cooperation of the Public Works Administration, called for bids for the furnishing and installation of water meters inclosed in east-iron boxes for the aqueduct of that city. The Caribbean Engineering Co., being the successful bidder, entered into 'a contract with the municipality to do the work in question for $66,237. The controversy herein arose from the fact that in the specifications which were made a part of the contract, the municipality fixed the required amount of excavation at 1,500 cubic meters, whereas the plaintiff actually had to excavate 4,247.33 c. m. The unit price stipulated in the contract was 75$ per cubic meter, but the plaintiff claimed payment for any work in excess of the amount originally stip-[28]*28nlated plus 20 per cent thereof, at the rate of $1.60 per cubic meter, which, according to the plaintiff, represented the cost of the work. The same thing happened with respect to the item of corporation cocks, the number of which was estimated in the specifications at 1,000 at the rate of $1.00 each, and then it became necessary to install 1,479, the plaintiff claiming the sum of $1.50 per cock.

The municipality refused to pay the amount claimed by the contractor but did pay the latter in accordance with the unit price fixed in the contract, whereupon the Caribbean Engineering Co. brought an action for damages in the District Court of Ponce, seeking to recover the difference between the amount paid by the municipality and the cost of the extra work done by the plaintiff in connection with the two items above mentioned, or the total sum of $2,219.23. The case was submitted to the lower court upon a lengthy stipulation of facts, to which we shall refer further on in this opinion, and the present appeal has been taken from the judgment dismissing the action with costs and attorney’s fees. It is urged that the lower court erred in rendering a judgment at variance with the stipulated facts, in dismissing the action, and in adjudging the plaintiff to pay the costs and attorney’s fees. The appellant discusses the first two assignments together, and we will also decide them jointly.

The principal ground relied on by the lower court for rendering judgment for the defendant is set forth in the opinion which it delivered in support thereof, as follows:

“Prom what we have just transcribed, it clearly appears that the plaintiff contractor, in entering into the said contract with the Municipality of Ponce, waived, any claim for damages, arising from any difference between the estimated amount of work and the work actually done. (Instruction 7 forms part of the contract.)
“This, in our opinion, is sufficient to dismiss the action for damages, because, ‘obligations arising from contracts have legal force between the contracting parties, and must be fulfilled in accordance with their stipulations.’ (Section 1044 of the Civil Code, 1930 ed.) ” (Italics supplied by the lower court).

[29]*29Let us see whether there was any waiver. As all the instruments subscribed in this transaction were drafted in the English language, we will quote from them in that language. The contract entered into between the parties expressly provided that the call for bids, the proposals, the instructions to bidders, the construction regulations, and the specifications would form part of the contract, thus:

“ARTICLE 1: Statement of work: The contractor shall furnish all labor and materials, and perform all work required for the Fuen-ishing and Installation of Water Meters and Cast-Iison Boxes in Ponce, Puerto Rico, for the consideration of sixty-six thousand two hundred and thirty-seven dollars (166,237.00) in strict accordance with the invitation; 'bid; instructions to bidders; construction regulations; specifications entitled Specifications eoR the FuRnishing and Installation oe Water MeteRS and Cast-IRON Boxes and the drawing mentioned in the specifications; all which are made a part hereof.” (Italics ours.)

Article 2 reads as follows:

“ARticle 2: Payments: The owner agrees tó pay the contractor for the complete work required by this contract at the prices agreed upon in this contract. Such payments shall be made from funds received from the sale of bonds or otherwise, from the United States of America by way of grant.”

In the first instruction to bidders the following appears:

“1. Examination oe Site.
“Bidders must examine the site of the work in order to obtain full knowledge of difficulties that might arise in the execution of the work.” (Italics ours.)

In instruction 7 the bidders were advised as follows:

“7.-PREPARATION OE BlD.
“Bidders must submit with their bids one set of the Instructions to Bidders, Construction Regulations, and Specifications, which shall he considered as forming part of their hids.
“Forms furnished shall be used, and strict compliance is necessary with the requirements of the invitation and these instructions. Special care should be exercised in the preparation of bids.
[30]*30 “Bidders must malee their own estimates <of the facilities and difficulties attending the execution of the proposed contract, including local conditions, uncertainty of weather and all other contingencies.
All blank spaces in the bid form shall be carefully filled in, no alterations or additions in the wording of the bid being permitted.
“All bids having any condition or limitation added by the bidders will be considered informal and may be rejected.
“The estimated quantities of work that appear in the Proposal Form are only approximate and bidders must determine for themselves the quantities of work that will be required and they shall assume all risks as to any variation m the quantities' of the different classes of work actually performed, and they shall not make any damn for damages or loss of profits because of any difference between the quantities of the various classes of work given in the estimates for the purpose of bidding and the quantities of work actually performed. The contractor’s compensation will be computed upon the basis of the actual quantities in the completed work; whether they be more or less than the quantities listed in the Proposal Form.” (Italics ours.)

Paragraph Ino. 2 of the Specifications contains the following :

“2. — Scope op Work. — The extent and scope of work to be performed is described in these specifications, shown, noted or implied upon the accompanying drawings, supplemented by explanatory details, which will be furnished by the Owner, and may be stated as complete Furnishing and Installation of Water Meters and Cast-Iron Boxes for the Ponce Water Works.
“It is the intention of these specifications to describe definitely and fully the character of all materials

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Cite This Page — Counsel Stack

Bluebook (online)
60 P.R. 26, Counsel Stack Legal Research, https://law.counselstack.com/opinion/caribbean-engineering-co-v-municipality-of-ponce-prsupreme-1942.