Dunnigan Construction Co. v. United States

122 Ct. Cl. 262, 1952 U.S. Ct. Cl. LEXIS 100, 1952 WL 5925
CourtUnited States Court of Claims
DecidedMay 6, 1952
DocketNo. 47647
StatusPublished

This text of 122 Ct. Cl. 262 (Dunnigan Construction Co. 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
Dunnigan Construction Co. v. United States, 122 Ct. Cl. 262, 1952 U.S. Ct. Cl. LEXIS 100, 1952 WL 5925 (cc 1952).

Opinion

[282]*282Littleton, Judge,

delivered the opinion of the court:

On May 80, 1942, plaintiffs as joint venturers, entered into a letter contract with the War Department for the construction of barracks, mess halls, storage buildings, officers’ quarters, a gasoline station, and other buildings for the 606 Tank Destroyer Battalion at Fort Leonard Wood, Missouri, at unit prices totaling $803,409.70. On the same day plaintiffs received a notice to proceed with the work within 10 days, and to complete the project within 90 days, although actually plaintiffs had begun work on the project on May 26,1942.

The formal contract which replaced the letter contract contained as Article 9 the Standard Form Delays-Damages Clause.1 The specifications, which were made a part of the contract, contained, in part, the following provisions:

1-05. Commencement, Prosecution and Completion. (b) If the completion of the undertaking to be performed under the terms of this contract be delayed by reason of delay in the delivery of materials or supplies essential to such performance because of national defense priorities and without the fault or negligence of the contractor, the time of performance will be extended for a [283]*283period equal to such delay, as determined by the contracting officer, and subject to appeal, as provided in Article 9 of the contract.
(c) In case time for completion of the work is increased due to any of the causes specified herein, it is distinctly understood and agreed that the contractor will accept the additional time in which to complete his contract in full satisfaction of any delays encountered and the United States will not be liable for any costs or expenses incurred by the contractor as a result of the increased time for completion of the contract.
1-10. Organization, Plant and Progress.
(b) The contractor shall furnish sufficient forces, construction plant and equipment, and shall work such hours, including night shifts, overtime operations, and Sunday and Holiday work as may be necessary to insure the prosecution of the work in accordance with the approved progress schedule. If, in the opinion of the contracting officer, the contractor falls behind the progress schedule, the contractor shall take such steps as may be necessary to improve his progress and the contracting officer may require him to increase the number of shifts, days of work and/or the amount of construction plants, and/or overtime operations, all without additional cost to the Government.
$ $ # ‡ $
1-11. Claims, Protests and Appeals. If the contractor considers any work demanded of him to be outside the requirements of the contract or if he considers any action or ruling of the contracting officer or of the inspectors to be unfair, the contractor shall without undue delay, upon such demand, action, or ruling, submit his protest thereto in writing to the contracting officer, stating clearly and in detail the basis of his obj ections. The contracting officer shall thereupon promptly investigate the complaint and furnish the contractor his decision in writing, thereon. If the contractor is not satisfied with the decisions of the contracting officer, he may, within thirty days,_ appeal in writing to the Secretary of War, whose decision or that of his duly authorized representative shall be final and binding upon the parties to the contract. Except for such protests or obj ections as are made of record in the manner herein specified and within the time limit stated, the records, rulings, instructions or decisions of the contracting officer shall be final and conclusive. All appeals from decisions of the contracting officer authorized under the contract shall be addressed to the Secretary of War, Washington, D. C. The appeal [284]*284shall contain all the facts or circumstances upon which the contractor bases his claim for relief and should be presented to the contracting officer for transmittal within the time provided therefor in the contract.
2-01. Order of Work, (a) The work shall be carried on at such locations and in such order of precedence as may be found necessary by the contracting officer. The location and limits of the work to be done will be plainly indicated by the contracting officer or his agents.

Section 5-04 of the specifications related to lumber requirements and provided that the defendant would designate to the contractors the source of an allocate of the lumber required for the project, with the exception of mill work, wallboard, form lumber for concrete, and lumber for certain designated buildings. Plaintiffs were required to include $80,000 in the contract to cover the cost, including freight charges, of the lumber allocated by the United States. Within five days after the award of the contract plaintiffs were to submit to the contracting officer a requisition for the allocated lumber, setting forth a complete delivery schedule, making allowance for the fact that delivery of nonstructural grades would require at least 15 days prior to the date initial delivery was desired, and delivery of structural grades would require 30 days prior to the desired delivery date. Any unused lumber was to become the property of the Government -at the completion of the contract. ‘The specifications .also stated that a representative of plaintiffs would be required to attend a lumber auction in order to obtain their allocated requirements.

On June 1,1942, plaintiffs were notified to be present at a lumber auction in New Orleans on June 2, 1942, to receive their lumber allocation. Plaintiffs’ representative arrived in New Orleans on June 2, and immediately prepared a list setting forth plaintiffs’ lumber requirements and the desired delivery schedule, which list was delivered to a Government representative. After certain adjustments in plaintiffs’ proposed delivery schedule had been made, plaintiffs’ requirements were bid upon on June 5, 1942, and requisitions were signed by plaintiffs’ representative, by the agents of the lumber companies who were the successful bidders on that portion of plaintiffs’ requirements, and by the Government [285]*285representative. Plaintiffs’ representative then returned to the project, and within a period of approximately two weeks, issued to each supplier a purchase order. These orders called for deliveries in accordance with the agreed delivery schedule, to begin one on June 11, 1942, six on June 25, and to continue thereafter throughout July.

Plaintiffs initially planned to prefabricate as much of the lumber used in the project as possible, and to use specialized crews to perform the various phases of construction. To carry out this plan, plaintiffs set up a central sawmill in the heart of the construction area where all the lumber was to be delivered. Here the lumber, with the exception of the siding, was to be cut to size and made up into prefabricated units which were then to be delivered to the various buildings for installation by one of the specialized crews. A number of events, including delays in delivery of lumber, lack of skilled and efficient labor, and lack of efficient management on plaintiffs’ part prevented the contractors from ever putting the proposed plan entirely into operation.

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Related

United States v. Wunderlich
342 U.S. 98 (Supreme Court, 1951)
Ross Engineering Co. v. United States
118 Ct. Cl. 527 (Court of Claims, 1951)

Cite This Page — Counsel Stack

Bluebook (online)
122 Ct. Cl. 262, 1952 U.S. Ct. Cl. LEXIS 100, 1952 WL 5925, Counsel Stack Legal Research, https://law.counselstack.com/opinion/dunnigan-construction-co-v-united-states-cc-1952.