Foster v. Honolulu Construction & Draying Co.

21 Haw. 689
CourtHawaii Supreme Court
DecidedOctober 21, 1913
StatusPublished
Cited by1 cases

This text of 21 Haw. 689 (Foster v. Honolulu Construction & Draying Co.) is published on Counsel Stack Legal Research, covering Hawaii Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Foster v. Honolulu Construction & Draying Co., 21 Haw. 689 (haw 1913).

Opinions

OPINION OF THE COURT BY

DE BOLT, J.

(Perry, X, Dissenting)

The complainants, H. H. Foster and Edward Ross, filed their bill in equity praying for an injunction to restrain the superintendent of public works from signing or approving any vouchers for work done, or material* furnished under a certain contract with the respondent, Honolulu Construction and Draying Company, Limited (hereinafter called the “Construction Co.”), for constructing certain streets and laying storm drains in the Auwaiolimu tract in Honolulu, and to restrain the auditor [690]*690from issuing any warrants in payment of any work done, or material furnished under the contract, and to restrain the Construction Co. from receiving any money under the contract.

The averments of the bill, so far as they are material in the consideration of the questions presented, are, that the complainants are citizens and taxpayers of the Territory; that they instituted this suit as such citizens and taxpayers for themselves and on behalf of all other taxpayers of the Territory; that the superintendent of public works duly advertised for “sealed tenders” for constructing the streets and laying the storm drains mentioned, thereby giving notice that “plans, specifications and blank forms of proposals are on file in” his office, and that he “reserves the right to reject any or all tenders;” that in response to the advertisement thus made five contractors, including the complainants and the Construction Co., filed in the office of the superintendent of public works their respective bids or proposals' for performing the work and furnishing the material required by the plans and specifications; .that copies of the plans, specifications and blank forms for proposals are annexed to the bill and made a part thereof.

In the blank forms for proposals to perform the work and furnish material there are five columns for bids, one of which forms, as filled out by the complainants respecting the unit prices and total stuns bid, and which they filed as their proposal, reads:

“The following are unit prices for the items named in place complete with the gross sum for which the work specified will be performed:
Item Approximate Items Unit Bid Total
No. Quantities :
1 Clearing $ 300.00.
2 24,848 cu. yds. Excavating at 60 cents $14,908.80
3 1,338 cu. yds. Rubble Masonry Wall at $5.00 ’ $ 6,690.00
■ 4 23,435 sa. yds. Crowning Roadway at .05 cents $ 1,171.75
5 1,842 lin. ft. Guard Wall at 75 cents $ 1,381.50
6 455 lin. ft. (12" Concrete Pipe Line complete in place) at 10 cents ? 455.00
[691]*6917 7 Brick Inlets, complete in place at $35.00 $ 245.00
8 122 lin. ft. Rubble Masonry Guard Wall for intersecting streets at 75 cents $ 915.00
Total for wbicb work will be performed $26,067.05”

The complainants agreed to complete the work in 150 working days after official notice of the award. The proposal of the Construction Co. was in due form and regular in all respects. The total for which it proposed to perform the work being $26,745.20, and to complete the work in 140 working days after official notice of the award. There being ten days difference in the time within which the complainants and the Construction Co. respectively agreed to complete the work, the superintendent of public works under the specifications hereinafter quoted, was authorized to add to the complainants’ bid the sum of $100, thus making the total amount of their bid $26,167.05.

The superintendent of public works finding the bid of the complainants “irregular,” and acting upon the opinion of the attorney-general of the Territory, rejected it and awarded the contract for the work and material in question to the Construction Co., the next lowest bidder but one whose proposal was also rejected, having failed to name any unit bid whatsoever.

The following provisions off the specifications are deemed pertinent:

“The estimated quantities on these plans and specifications are made for the convenience of the contractor and the Department of Public Works does not assume any responsibility as to the exactness of the same. The contractor will name a lump sum bid for the total work and it will be assumed that his bid is based on a thorough knowledge of the existing conditions and the amount and kind of work to be performed.
“All tenders shall be on blank forms furnished by the Department of Public Works; all terms and conditions of which are made a part hereof.
“The Superintendent of Public Works reserves the right to increase or diminish the work as shown on plans and described [692]*692in these specifications; and in snch cases shall add to or deduct »from the contract price, as the case may be, the value of such additions or deductions, based on the schedule filed with the contractor’s tender, or on the unit price in tender.
“The Superintendent of Public Works in determining who is the lowest bidder under these specifications, will consider the difference in time as proposed for the completion of the work by the contractor at the rate of $10.00 per day.”

There is no allegation of fraud or abuse of discretion.

The bill prayed for a temporary injunction pending proof and for a perpetual injunction on final hearing. The circuit judge declined to grant the temporary injunction as prayed for, but made an order directing the respondents to appear and show' cause, if any they had, why a temporary injunction should not be granted. In compliance with this order the respondents made their so-called returns, which, in effect, were demurrers to the bill, and were so treated by court and counsel. The returns were held to be a complete showing on the part of the respondents to the order to show cause, and a decree was thereupon entered dismissing the bill. From this decree the complainants appeal. The case, therefore, is before the court on the pleadings, no evidence having been adduced.

The superintendent of public works, as will be observed, required the bidders to submit both a unit bid and a total bid on each item of work to be done, or material to be furnished. This was not only a reasonable and proper requirement, but, under certain contingencies which it is not unreasonable to assume might arise, was a requirement of considerable importance. For instance, had the proposal been accepted, assuming for the moment that a contract could be founded upon it, and the superintendent of public works had wished to exercise his right under the specifications to either increase or diminish the work; an important question would then have arisen, namely, Shall the value of such addition to or deduction from the work be based upon the unit bid or upon the total bid? Obviously, assuming the total bids to be correct, if a deduction were to be [693]

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Federal Electric Corporation v. Fasi
527 P.2d 1284 (Hawaii Supreme Court, 1974)

Cite This Page — Counsel Stack

Bluebook (online)
21 Haw. 689, Counsel Stack Legal Research, https://law.counselstack.com/opinion/foster-v-honolulu-construction-draying-co-haw-1913.