City of Cleveland v. Thomas

15 Ohio App. 76, 1921 Ohio App. LEXIS 177
CourtOhio Court of Appeals
DecidedNovember 5, 1921
StatusPublished
Cited by7 cases

This text of 15 Ohio App. 76 (City of Cleveland v. Thomas) is published on Counsel Stack Legal Research, covering Ohio Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
City of Cleveland v. Thomas, 15 Ohio App. 76, 1921 Ohio App. LEXIS 177 (Ohio Ct. App. 1921).

Opinion

Sullivan, J.

This cause comes into this court on appeal from the court of common pleas of Cuyahoga county.

The pleadings and evidence disclose that on or about July 1, 1921, the city of Cleveland received sealed bids or proposals for providing and installing elevators for certain buildings being constructed as a part of the city hospital on Scranton road in the city of Cleveland.

Pursuant to the advertisement the following bids were received by the city through its board of control, duly authorized in the premises:

American Elevator and Machine Company ........................... $ 76,017.00

[77]*77Otis Elevator Company.............. 91,645.00

The Haughton Elevator and Machine

Company ....................... 92,266.00

■A. B. See Electric Elevator Company.. 104,000.00

The Warner Elevator Mfg. Company .. 108,475.00

On or about the 15th day of July, 1921, the board of control passed a resolution awarding the contract for said elevators in said hospital buildings to The Otis Elevator Company, at a lump sum of $91,645, a difference of approximately $15,000' between its bid and the aforesaid bid of the American Elevator & Machine Company, whose bid was $76,017.

The plaintiff contends that the provisions of Section 7 of ordinance known as 31783-a, which provides among other things that the “Board of Control shall award the contract to the lowest and best bidder,” were disregarded in the execution of the contract, and the plaintiff makes the further claim that the bid of the American Elevator & Machine Company was the lowest and best bid, instead of the bid of The Otis Elevator Company, as aforesaid.

The petition, and the amendment thereto, set up that the bid of the American Elevator & Machine Company conforms in all respects to the requirements of the plans and specifications of the city, ou which bids were advertised and received, as fully and completely as the bid and proposal of The Otis Elevator Company accepted under the award of the board of control, and further allege that the American Company was able and sufficiently equipped to enter into a contract for, and to furnish and deliver the elevators to the city of Cleveland, in accordance with its proposal and bid, as promptly and efficiently as The Otis Elevator Company.

[78]*78The prayer of the petition is that the defendants be enjoined from in any manner attempting to perform the contract with The Otis Elevator Company, from paying out any funds of the city of Cleveland for work and material furnished under the contract, and from attempting in any manner to perform the contract, and that upon a final hearing the injunction prayed for be made perpetual.

The answer of the defendants admits the awarding of the contract by the board of control for the sum aforesaid, and avers that on the 20th of July, 1921, a contract for furnishing the elevators was entered into by and between the city of Cleveland and The Otis Elevator Company.

In a second defense of the answer the defendants allege in substance that said board of control, after an investigation, reached the conclusion that the elevator proposed to be furnished by The Otis Elevator Company was in many respects far superior and better adapted to the use of the proposed hospital buildings than that proposed to be furnished by the American Elevator & Machine Company; that all things considered the bid of The Otis Elevator Company was the lowest and best bid; and that the board of control for that reason awarded the contract to The Otis Elevator Company in the exercise of the discretion reposed by law in the board of control.

In the amendment to the petition of. plaintiff, and in the evidence, the validity of the' proposal and the specifications of The Otis Elevator Company are attacked in many respects, and the grounds of contention with respect thereto are specifically set forth in the allegations of the amendment to the petition.

By reason of the alleged invalidity averred in [79]*79the amendment to the petition, the plaintiff claims that the proposal and bid of The Otis Elevator Company did not respond to the specifications and requirements of the city of Cleveland on file in the office of the city architect, and, in consequence thereof, the further allegation was made that the bid of The Otis Elevator Company was not competitive with the bids and proposals of others who filed their bids and proposals with the city of Cleveland in accordance with its advertisement therefor.

It is beyond dispute that discretion, in the absence of fraud, collusion, notion or caprice, is vested in the board of control by authority of law with respect to determining finally which is the lowest and best bid.

Bearing upon this question, in the case of State, ex rel. Cleveland Trinidad Paving Co., v. Board of Public Service of Columbus, 81 Ohio St., 218, the court says, at page 224:

“Running all through the legislation is a plainly implied if not expressed purpose to clothe the Board of Public Service with a wide discretion in dealing with the making of contracts for street improvements, the various precautionary provisions being intended to safeguard the public in its dealing with contractors. The board may reject any and all bids. If there be reason to believe there is collusion or combination among bidders, the bids of those concerned therein shall be rejected. True, the language is that the board shall make a written contract with the lowest and best bidder (that is, no contract shall be made with any but the lowest and best bidder) but the board is to determine who of all the bidders is the lowest and best, and no limit is placed respecting the time when the determination shall be made, [80]*80nor is there any requirement refusing to the board the power, usually accorded to all municipal bodies, to rescind its action in a proper case. In the absence of such provision the proposition is a fair one that the usual rule prevails. That rule, well settled by numerous adjudications, is to the effect that the action of such bodies respecting legislative or administrative matters is not always conclusive, and beyond recall, but that they are possessed of inherent power to reconsider their action in matters of that nature, and adopt if need be the opposite course in all cases where no vested right of others has intervened, the power to thus act being a. continuing power. The powers involved in this inquiry are administrative powers, and necessarily they must involve the right to reconsider action theretofore taken, and, in the absence of a showing that fraudulent intent existed to the injury of the complaining party, courts will not interfere. In this case, under the statute cited, it is quite clear that the real substantial object to be attained is the making of the written contract; it is the only contract authorized by the statute, and all that precedes is but preliminary to the efficient object, viz.: the written contract. Until that is executed the city is not bound. In the present case the board was authorized to bind the city by the written contract specified in the statute, but was wholly unauthorized to bind the city by any other contract.

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Cite This Page — Counsel Stack

Bluebook (online)
15 Ohio App. 76, 1921 Ohio App. LEXIS 177, Counsel Stack Legal Research, https://law.counselstack.com/opinion/city-of-cleveland-v-thomas-ohioctapp-1921.