E.W. Burman, Inc. v. Bradford Dyeing Association, Inc.

CourtSupreme Court of Rhode Island
DecidedNovember 26, 2019
Docket18-261
StatusPublished

This text of E.W. Burman, Inc. v. Bradford Dyeing Association, Inc. (E.W. Burman, Inc. v. Bradford Dyeing Association, Inc.) is published on Counsel Stack Legal Research, covering Supreme Court of Rhode Island primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
E.W. Burman, Inc. v. Bradford Dyeing Association, Inc., (R.I. 2019).

Opinion

November 26, 2019

Supreme Court

No. 2018-261-Appeal. (WC 08-107)

E.W. Burman, Inc. :

v. :

Bradford Dyeing Association, Inc. :

NOTICE: This opinion is subject to formal revision before publication in the Rhode Island Reporter. Readers are requested to notify the Opinion Analyst, Supreme Court of Rhode Island, 250 Benefit Street, Providence, Rhode Island 02903, at Telephone 222-3258 of any typographical or other formal errors in order that corrections may be made before the opinion is published. Supreme Court

Present: Suttell, C.J., Goldberg, Robinson, and Indeglia, JJ.

OPINION

Justice Indeglia, for the Court. The plaintiff, E.W. Burman, Inc. (E.W. Burman or

plaintiff), appeals from a Superior Court judgment entered in favor of the defendant, Bradford

Dyeing Association, Inc. (Bradford Dyeing or defendant), following a bench trial in which the

trial justice concluded that no oral or implied-in-fact contract existed between the parties. The

trial justice also found that the defendant was not liable under the theories of quasi-contract or

promissory estoppel. This case came before the Supreme Court on November 6, 2019, pursuant

to an order directing the parties to appear and show cause why the issues raised in this appeal

should not be summarily decided. After carefully considering the parties’ written and oral

submissions and reviewing the record, we conclude that cause has not been shown and that this

case may be decided without further briefing or argument. For the reasons set forth in this

opinion, we affirm the judgment of the Superior Court.

I

Facts and Travel

In May 2007, a fire occurred at Bradford Dyeing’s facility in Westerly that caused

significant structural damage. The defendant enlisted the help of Commonwealth Engineers

-1- (Commonwealth) to assist in the restoration of its facilities. The restoration project consisted of

two phases: Phase one required the installation of a temporary roof that would permit operations

to continue, and phase two required the complete replacement of the roof. Phase two is the basis

for this action. Liberty Mutual Insurance Company (Liberty Mutual) insured defendant,

contributed to the cost for the phase one repairs, and was expected to also contribute to phase

two repairs. Liberty Mutual was therefore involved in communication with Commonwealth and

defendant regarding the roof reconstruction designs for phase two. Commonwealth designed the

new roof and promptly issued requests for bids. At the close of the bid deadline, plaintiff was

the lowest bidder by approximately $400,000.

On August 27,1 a meeting was held between plaintiff’s president, Edward W. Burman, Jr.

(Burman), two individuals from Commonwealth, and Charles Doherty from Liberty Mutual.

Liberty Mutual had engaged the private engineering firm of Simpson, Gumpertz & Heger to

verify the phase two designs and to determine whether plaintiff understood the scope of the roof

project. A representative from that firm was also in attendance at that meeting. What occurred

at that meeting is disputed, but, nevertheless, contract negotiations ensued shortly after. While

negotiations continued, plaintiff incurred costs for drawings and materials for the roof restoration

project. Ultimately, before any written contract had been signed, defendant decided to change its

roof plans.

The plaintiff sent defendant an invoice for materials purchased based on the original roof

design, and it sent a revised bid to Commonwealth with respect to the new roof design. In

response, defendant, through its attorney, sent plaintiff a letter claiming that plaintiff was never

authorized to purchase materials for the project. Subsequently, plaintiff filed a complaint against

1 All events in this case, unless otherwise designated, took place in 2007.

-2- defendant in Washington County Superior Court alleging (1) breach of contract, (2) breach of

implied contract, and (3) that defendant was liable under the theory of quasi-contract. The

plaintiff in 2011 filed an amended complaint that added the allegation that defendant was liable

under the theory of promissory estoppel.

A bench trial before a justice of the Superior Court commenced on January 23, 2012.

The trial lasted four days and concluded on January 26, 2012. Three witnesses testified:

Burman; Commonwealth’s corporate secretary and treasurer, Steven M. Clarke (Clarke); and

Attorney Gerald Petros (Petros), who had been defendant’s outside legal counsel. Burman was

the first witness to testify, and he recounted that plaintiff submitted a bid on the roof restoration

project on August 17. On August 20, Bruce Bartel, Commonwealth’s project engineer for this

project, contacted Burman and informed him that E.W. Burman was the low bidder. Burman

testified that Bartel asked how soon they could start, and Burman told him they could start

immediately. Burman testified that Bartel called him later in the week and said “that, again it

looks like it’s a go project for us,” and that the final hurdle was meeting with Liberty Mutual

because it would be paying for the project and wanted to know if plaintiff completely understood

the scope of the work.

Burman testified that the scope meeting occurred on August 27. Present were Burman,

Bartel and Clarke from Commonwealth, Charles Doherty from Liberty Mutual, and a

representative from Liberty Mutual’s engineering firm. Burman testified that no employee or

representative of defendant was present at the meeting. Burman testified that Bartel and Clarke

told him at the meeting that plaintiff was the contractor on the project and that plaintiff and

defendant “had an oral contract after [they] came out of that meeting.” He testified that he,

Bartel, and Clarke discussed what form of contract they would use, and Burman offered to

-3- “expedite things” and send over a form contract for review, which Burman did the same day.

Burman testified that he submitted a final proposed schedule of construction and that neither

Commonwealth nor Liberty Mutual objected to the schedule.

Burman testified that, based on the schedule he submitted and because “[t]ime was of the

essence,” he, on behalf of plaintiff, authorized Reliable Truss and Components, Inc. to begin

preparing shop drawings for the roof trusses and ordered $63,000 worth of stainless-steel angles

and flat bars from Shawmut Metal (Shawmut), despite not having signed a written contract for

the project. He testified that Commonwealth had agreed that the work had to start immediately

in order to meet the end date of December 31 and that he was “never told [at] any time at that

27th meeting not to proceed with any of the work. It was full steam ahead.” Burman testified

that his company commences work prior to having a written contract “all the time.”

Burman further testified that E.W. Burman’s project manager, Rich Hawes, sent an

e-mail to Bartel on September 13 asking permission to visit the job site to take measurements.

Burman testified that Bartel replied, including Burman and Clarke on the response, stating: “We

have been directed by Bradford’s attorney to wait on any visits or other work activities until

contract issues are worked out with the insurance company. So, wait on any site visits until there

is a contractual relationship between Burman and Bradford Dye.” Burman testified that he

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