Green-Beekman Const. Co. v. McClintic-marshall Co.

1928 OK 484, 272 P. 420, 134 Okla. 60, 1928 Okla. LEXIS 796
CourtSupreme Court of Oklahoma
DecidedJuly 24, 1928
Docket18511
StatusPublished
Cited by1 cases

This text of 1928 OK 484 (Green-Beekman Const. Co. v. McClintic-marshall Co.) is published on Counsel Stack Legal Research, covering Supreme Court of Oklahoma primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Green-Beekman Const. Co. v. McClintic-marshall Co., 1928 OK 484, 272 P. 420, 134 Okla. 60, 1928 Okla. LEXIS 796 (Okla. 1928).

Opinion

HEENER, J.

In 1924, the Green-Beek-man Construction Company, the plaintiff in error herein and the defendant below, hereinafter called defendant, was a successful bidder on the Walker street viaduct at Oklahoma City. The defendant purchased from the McClintic-Marshall Company, plaintiff below and hereinafter called plaintiff, the structural steel to be used in the construction of the viaduct at a lump sum price in the amount of $85,337, and paid the plaintiff $71,000, and refused to pay the balance or to pay for the paint job and some other smaller items. The defendant contended that a less quantity of steel in poundage had been put into the job than was indicated by the preliminary estimate of the city and county' engineers, and it had a parol agreement with the plaintiff whereby the full quantity of poundage expressed in the preliminary estimate would be put into the job, and it placed its bid with the city on a poundage basis.

The plaintiff alleged there was due on the original contract price the sum of $11,085, and $3,455 on account of storage and switching charges, and $3,252 on account of the paint job. The city and county engineers in the preliminary estimate, in describing this class of steel structure, placed the estimate at 1,840,000 pounds.

Attached to the petition. of the plaintiff was a copy of the contract between plaintiff and defendant and the material parts necessary to consider herein are as follows:

“The main girders will be shipped in one piece with no field splices. * * * Price. The purchaser shall pay the contractor in funds current at par in New York or Pittsburgh for the said work, labor, services and materials in the sum of $85,337 in the following manner. * * *”

The defendant’s contract with the city provided for a price of $.0548 per pound. The defendant alleges the contract between plaintiff and defendant expressed the price of $.0463 per pound. If this allegation be true, the defendant made a clear profit of $.0085 per pound, being the difference between its alleged purchase price with the plaintiff and the price the city agreed to pay it.

These contracts were made upon the preliminary estimate of the engineers. The plaintiff in its written contract agreed to manufacture and construct the steel for the lump sum of $85,337 without reference to whether or not the final estimate increased or decreased the poundage.

Upon final estimate the poundage used in the construction of the viaduct was 1,-630,469 pounds, being 209,531 pounds less than the preliminary estimate, and it is this difference in the poundage that occasioned this lawsuit..

The defendant pleads two principal defenses: The one alleges a custom in Oklahoma under which the defendant would be entitled to credit as a less quantity of steel was actually used than was indicated in the preliminary estimate upon which the contract was based. The other was, notwithstanding the fact the defendant purchased the structural steel from the plaintiff in the stated sum of $85,337, the plaintiff knew the defendant had a contract with the city on a poundage basis, and the defendant had an oral agreement with the plaintiff in which it was understood and agreed the plaintiff would manufacture and put into the construction of the structural steel the full amount of the poundage indicated in the engineer’s preliminary report. The plaintiff in its reply denied that there was any such custom, and denied there was any such contemporaneous parol agreement.

Upon these issues the jury rendered a verdict for plaintiff in the sum of $14,622.79, and judgment was entered in accordance with the verdict of the jury.

The first error complained of was the admission in evidence by the court of the following question and answer:

“Q. Is there any custom in the steel construction business whereby in ease of a lump sum contract for the supplying of the steel work necessary for a job, the lump sum price is adjusted on the completion of the job in accordance with the amount of steel work that actually goes into that job? A. There is no such - custom.”

The court, over the objection of the defendant, permitted several other witnesses to testify that there was no such custom. The defendant contends this evidence was not based upon any issue in the case, and its effect was to divert the attention of the jury and mislead them.

The defendant pleaded the custom; the plaintiff denied it; the pleadings made it an issue. The proof offered by the plaintiff was not in conflict with any express provis *62 ion of tiie written contract. It was, in fact, in harmony with the written contract. It is true the burden of proving the custom would necessarily rest upon the defendant. The plaintiff, however, assumed the burden of proving there was no such custom, and the defendant did not offer any evidence tending to prove the existence of such a custom. Since this issue was raised by the pleadings, we do not think the trial court committed any reversible error in admitting this evidence. In any event, if it was error, it was harmless because it did not deprive the defendant of any of its substantial rights.

The plaintiff’s contract -with the defendant was what is known as a lump sum contract. That is to say, it agreed to furnish the structural steel for a certain definite amount without reference to whether or not the poundage, in the final estimate, would be more or less than was expressed in the preliminary estimate of the engineers. The contract of the defendant with the city was on what is known as a unit basis. That is to say, the defendant was to furnish the steel to the city at so much per pound and pipes and fittings at so much per pound without reference to the amount used.

Had there been used in the construction of the viaduct a greater poundage than that expressed in the preliminary estimate of the engineers, the plaintiff would have been bound under its contract to furnish the actual poundage without any additional charge. The defendant’s contract with the city, however, was different. If more poundage was used, then it would receive the additional pay therefor. If less poundage was used, the proper deduction would be made at the price per pound agreed upon between the defendant and the city.

The defendant had the option to furnish the city and county the steel girders of certain dimensions and weight and either “shop” or “field” spliced. The girders could be manufactured either in one piece or two pieces. If they were manufactured in two pieces and shipped to the place where they were to be used, and then put together, this would be what is known as ‘‘field spliced”, and if manufactured in one piece, it was “shop spliced.’1’ The defendant, however, exercised its option not to have the girders field spliced, and when the. contract was drawn with plaintiff it was provided “the main girders will be shipped in one piece with no field splices.” It is over this provision of the contract that the real controversy in this lawsuit occurs.

The defendant contends that, at the time the contract was executed, it had an oral agreement with the plaintiff whereby it was to manufacture the structural steel for the ■viaduct, and that when .so manufactured, it was to have the weight and tonnage of 1,840,000 pounds. The defendant’s contract with the city and county was on a unit basis.

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Bluebook (online)
1928 OK 484, 272 P. 420, 134 Okla. 60, 1928 Okla. LEXIS 796, Counsel Stack Legal Research, https://law.counselstack.com/opinion/green-beekman-const-co-v-mcclintic-marshall-co-okla-1928.