Great Lakes Dredge & Dock Co. v. City of Chicago

187 N.E. 196, 353 Ill. 614
CourtIllinois Supreme Court
DecidedJune 22, 1933
DocketNo. 21630. Judgments reversed and judgment here.
StatusPublished
Cited by16 cases

This text of 187 N.E. 196 (Great Lakes Dredge & Dock Co. v. City of Chicago) is published on Counsel Stack Legal Research, covering Illinois Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Great Lakes Dredge & Dock Co. v. City of Chicago, 187 N.E. 196, 353 Ill. 614 (Ill. 1933).

Opinions

Mr. Justice Stone

delivered the opinion of the court:

This cause is here on writ of certiorari to the Appellate Court for the First District to review the judgment of that court affirming a judgment of the circuit court of Cook county in favor of the defendant in error and against plaintiff in error for costs. The Appellate Court has certified that there is fairly involved in the claim of plaintiff in error more than $1500. The action is one in assumpsit against defendant in error to recover the sum of $150,000 on account of materials and labor furnished under the direction of the commissioner of public works of defendant in error city, which were found necessary to the completion of a contract for the straightening of the south branch of the Chicago river. A jury was waived and a trial was had before the court.

The facts as shown by the record are undisputed, and the questions presented concern the construction of the contract between the parties and the power of the commissioner of public works to bind the city.

On July 28, 1926, the city of Chicago adopted an ordinance for straightening the south branch of the Chicago river. This ordinance provided for altering that stream between Polk street on the north and West Eighteenth street on the south by excavating a new channel 200 feet in width and about 26 feet in depth for a distance of about 5000 feet, the construction of dock walls along the banks and filling in the old channel of the river with earth. This ordinance also provided for making certain property adjustments with the railroads and other property owners then occupying the land in which the new channel was to be cut. It fixed the amount to be paid to the railroads, the method of payment and the proportion of the total cost of the improvement to be borne by the railroads and the city. The ordinance authorized the commissioner of public works to make any and all contracts necessary for carrying out the improvement, work of cutting the new channel and constructing the dock walls, and provided that all work was to be done under his supervision and control.

Pursuant to this ordinance the commissioner of public works issued to bidders a form of contract and complete specifications for the work and the manner of its completion. On August 8, 1928, pursuant to the ordinance, the commissioner of public works entered into a contract with plaintiff in error for cutting the channel and constructing the dock walls. The contract provided for payment to plaintiff in error at specified unit prices for all work done by it under the contract. The unit prices were contained in the fourteen clauses of the contract, lettered “A” to “N,” inclusive. The quantity of work was estimated, but the total cost of the work was made to depend upon the quantity actually required of the items of material and labor at the unit price for each item. The cost of the work to be done under this contract with plaintiff in error was estimated at approximately $2,700,000. The contract required that the work be done in accordance with plans prepared for doing the same on file in the office of the department of public works and the specifications appended thereto; that the work be commenced when the contractor was notified by the commissioner, and that it progress regularly and uninterruptedly except as should be otherwise ordered by the commissioner of public works. The work was to be completed within ten working months from the date of notification to the contractor to proceed with the work. Working months were specified as being between April 15 and November 15 of any year. The contract also provided that when the weather conditions were such that work could not be done, proper directions were to be issued by the commissioner and action taken by the contractor to cover and protect the work so that it would not be injured by the weather. The contract especially reserved. to the commissioner of public works the right finally to decide all questions arising as to the proper performance of the contract or to forfeit the same for failure to comply therewith and re-let without further advertising, and to adjust differences or damage, if any, in case of such re-letting.

In addition to the items as to materials and labor and the unit prices thereof enumerated in clauses “A” to “N,” the contract contains a clause designated as clause “O,” which is as follows: “If during the construction of the work covered by these specifications unexpected contingencies should arise that would require additional plant, material and labor other than is required in any of the above items, the undersigned further agrees to supply the additional plant and furnish the additional material and labor complete for the following unit prices:” There follow eleven specified items, with the unit price for each.

The contract also provided: “The right is reserved to the city of Chicago, through its commissioner of public works, to make alterations in the plans and specifications for the work included herein. Should it become proper or necessary, however, in the execution of the work, to make any alterations which will increase the expense, said commissioner of public works shall report to the city council the nature of such alterations and his estimate of the amount by which the expense to the city shall be thereby increased. The amount by which the contract price shall be increased in consequence of such alteration shall be determined by the city council. It is expressly understood and agreed that no payments shall be made to the party of the first part [contractor] for any work or material or of any greater amount of money than is herein stipulated to be paid, unless such changes in or conditions to the contract requiring additional outlay by said party of the first part shall first have been especially authorized by the city council of the city of Chicago and ordered in writing by the commissioner of public works.”

Item 16 of the specifications, which were made a part of the contract, is as follows: “It is to be understood that there will be no additional payments allowed for any delay in the work. When the delay is caused by the city of Chicago for any reason whatsoever or delay results from other causes over which the contractor has no control, the contractor will be granted an extension of time equal to such delay, and this is to be the only compensation that the bidder shall be entitled to or receive for such delay.”

The plan was to begin by cutting the new channel at a point in the river between Polk street and Taylor street and proceed south with the excavation to Eighteenth street, where the new channel was to again connect with the river. The work was to be done by permitting the water from the river to follow into the excavated channel and materials excavated placed on barges and transported north by way of the river. As excavation of the new channel proceeded the dock walls were to be constructed along each bank of the new channel. Under the specifications the dock walls were to be of a substantial character, consisting of round piling driven to bedrock and sheet piling driven back of the round and all capped by a cap of concrete seven feet in thickness and seven and one-half feet in width, the'piling to be anchored and back-filled with earth and stone.

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Bluebook (online)
187 N.E. 196, 353 Ill. 614, Counsel Stack Legal Research, https://law.counselstack.com/opinion/great-lakes-dredge-dock-co-v-city-of-chicago-ill-1933.