East Porter County School Corp. v. Gough, Inc.

965 N.E.2d 684, 2012 WL 1059430, 2012 Ind. App. LEXIS 139
CourtIndiana Court of Appeals
DecidedMarch 29, 2012
Docket64A04-1109-PL-471
StatusPublished
Cited by1 cases

This text of 965 N.E.2d 684 (East Porter County School Corp. v. Gough, Inc.) is published on Counsel Stack Legal Research, covering Indiana Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
East Porter County School Corp. v. Gough, Inc., 965 N.E.2d 684, 2012 WL 1059430, 2012 Ind. App. LEXIS 139 (Ind. Ct. App. 2012).

Opinion

OPINION

BROWN, Judge.

East Porter County School Corporation (the “School”) appeals the trial court’s or *685 der entering summary judgment in favor of Gough, Inc. (“Gough”) and Travelers Casualty Surety Company of America (“Travelers”) and against the School. The School raises two issues, which we consolidate and restate as whether the court erred in entering summary judgment in favor of Gough and Travelers and against the School. We affirm.

The relevant facts follow. 1 The School solicited bids for certain additions and renovations in several categories. 2 The School provided notice to bidders that bids would be received until February 5, 2008, at 2:00 p.m. and that the bids would be publicly opened at 2:00 p.m. Gough submitted a bid to complete certain construction work with respect to bid category # 1 (general trades) in the base bid amount of $2,997,000 and a bid bond issued by Travelers in the amount of ten percent of the bid amount. After submitting the bid, Gough called the School shortly after 2:00 p.m. 3 to say that its bid was based upon a mistake and to ask that it be withdrawn.

On or about March 10, 2008, Gough was awarded the contract by the School for bid category # 1. On March 17, 2008, Gough’s president, Joseph Gent, sent a letter to The Skillman Corporation, a representative of the School, stating that “[t]he contract is made out in an amount that is based upon an incorrect base-bid figure,” that “[t]his incorrect bid figure is the result of an in advertent [sic] clerical error that occurred at bid time,” and that “Gough will not accept this contract; Gough informed the [School] in a timely manner that a mistake was made that resulted in an incorrect bid figure; prior to the bid being opened Gough made every effort to contact ... the [School] to withdraw the bid immediately and to inform them that the bid amount was a mistake.” Appellant’s Appendix at 93-94. According to the letter, Gough returned the contract for the construction work to the School unsigned.

On March 24, 2008, the School approved the bid award for the project to the second lowest bidder, contingent upon Gough not responding by 12:00 p.m. on March 25, *686 2008, to agree to honor its bid, and the hiring of a law office to represent the School in the matter. The School submitted a claim on the bid bond to Travelers on or about April 24, 2008, and Travelers denied the claim on or about July 17, 2008.

On March 25, 2008, Gough filed a complaint for declaratory judgment against the School seeking that its bid be rescinded and its bid bond released. 4 In its complaint, Gough cites to Bd. of Sch. Commr’s of City of Indianapolis v. Bender, 36 Ind. App. 164, 72 N.E. 154 (1904), and states that “a contractor may be excused from a mistaken bid.” Appellant’s Appendix at 12. The School filed a counterclaim alleging that it had awarded the bid to Gough, that Gough returned the contract unsigned and refused to perform the work for its bid amount, that Gough was obligated to execute the contract to perform the work, that Gough’s failure to execute and perform the contract was a breach of its obligations, and that the School sustained damages as a consequence of Gough’s breach. The School also filed a third-party complaint against Travelers alleging that the School had submitted a claim to Travelers requesting payment of the bid bond, that Travelers denied the School’s claim, that the School sustained damages as a consequence of Travelers’ breach of contract, and that Travelers’ denial of the School’s claim constitutes bad faith. Gough filed a reply and affirmative defenses to counterclaim, and Travelers filed an answer and affirmative defenses to the third-party complaint in September 2008.

On August 20, 2010, the School filed a motion for summary judgment, memorandum of law, and designation of evidence. On December 20, 2010, Gough and Travelers filed a motion in opposition to the School’s motion for summary judgment and a cross motion for summary judgment, memorandum in opposition, and affidavits. 5 On March 22, 2011, the court held a hearing at which the parties presented arguments on the summary judgment motions, and on August 12, 2011, the court issued an order citing to Bd. of Sch. Commr’s of City of Indianapolis v. Bender, 36 Ind.App. 164, 72 N.E. 154 (1904), trains, denied, and entering summary judgment in favor of Gough and Travelers and against the School.

The issue is whether the trial court erred in entering summary judgment in favor of Gough and Travelers and against the School. Summary judgment is appropriate only where there is no genuine issue of material fact and the moving party is entitled to judgment as a matter of law. Ind. Trial Rule 56(c); Mangold ex rel. Mangold v. Ind. Dep’t of Natural Res., 756 N.E.2d 970, 973 (Ind.2001). All facts and reasonable inferences drawn from those facts are construed in favor of the nonmov-ant. Mangold, 756 N.E.2d at 973. Our review of a summary judgment motion is limited to those materials designated to the trial court. Id. We must carefully review a decision on summary judgment to ensure that a party was not improperly denied its day in court. Id. at 974. Any doubt as to the existence of an issue of material fact, or an inference to be drawn from the facts, must be resolved in favor of the nonmoving party. Cowe v. Forum Grp., Inc., 575 N.E.2d 630, 633 (Ind.1991).

A party moving for summary judgment bears the initial burden of showing no genuine issue of material fact and the appropriateness of judgment as a matter of *687 law. Monroe Guar. Ins. Co. v. Magwerks Corp., 829 N.E.2d 968, 975 (Ind.2005). If the movant fails to make this prima facie showing, then summary judgment is precluded regardless of whether the non-mov-ant designates facts and evidence in response to the movant’s motion. Id. In reviewing a trial court’s ruling on a motion for summary judgment, we may affirm on any grounds supported by the Indiana Trial Rule 56 materials. Catt v. Bd. of Commr’s of Knox Cnty., 779 N.E.2d 1, 3 (Ind.2002).

The fact that the parties make cross motions for summary judgment does not alter our standard of review. Hartford Acc. & Indem. Co. v. Dana Corp., 690 N.E.2d 285, 291 (Ind.Ct.App.1997), trans. denied. Instead, we must consider each motion separately to determine whether the moving party is entitled to judgment as a matter of law. Id.

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965 N.E.2d 684, 2012 WL 1059430, 2012 Ind. App. LEXIS 139, Counsel Stack Legal Research, https://law.counselstack.com/opinion/east-porter-county-school-corp-v-gough-inc-indctapp-2012.