Jaric, Inc. v. Chakroff

579 N.E.2d 493, 63 Ohio App. 3d 506, 1989 Ohio App. LEXIS 2707
CourtOhio Court of Appeals
DecidedJuly 6, 1989
DocketNo. 88AP-1028.
StatusPublished
Cited by14 cases

This text of 579 N.E.2d 493 (Jaric, Inc. v. Chakroff) is published on Counsel Stack Legal Research, covering Ohio Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Jaric, Inc. v. Chakroff, 579 N.E.2d 493, 63 Ohio App. 3d 506, 1989 Ohio App. LEXIS 2707 (Ohio Ct. App. 1989).

Opinion

*509 McCormac, Presiding Judge.

Jaric, Inc., plaintiff-appellee, commenced an action against Richard 0. Chakroff et al., defendants-appellants, alleging breach of contract and foreclosure of a mechanic’s lien in regard to appellee’s partial installation of the heating, ventilating and air conditioning in an office building owned by Richard and Barbara M. Chakroff. Appellants filed an answer and counterclaim asserting various defenses and alleging breach of contract and fraud on behalf of appellee.

The case was tried to a jury who returned a verdict for appellee in the amount of $52,281. Appellants’ counterclaim was dismissed.

Richard 0. and Barbara M. Chakroff appeal asserting the following assignments of error:

“1. The Court erred in failing to dismiss all of Appellee’s claims because of Appellee’s failure to allege and prove a valid mechanic’s lien.
“2. The Court erred in not requiring Appellee to fully answer Appellants’ Interrogatories and Requests to Produce which were intended to discover Appellee’s costs and profits.
“3. The Court erred in preventing Appellants during cross-examination form eliciting what were Appellee’s costs.
“4. The Court erred in excluding Exhibit D from evidence.
“5. The Court erred in not sustaining Appellants’ Motion for a Directed Verdict because Appellee failed to sustain its burden of proof on damages.
“6. The Court erred in refusing to hold Appellee in contempt of court for its failure to comply with the Court order to dismiss certain Defendants.
“7. The Court erred in finding that Appellee could take the deposition of its expert Thomas Eugene Kramer without complying with Civil Rule 27(B), after Appellants had filed a Notice of Appeal.
“8. The Court erred in allowing the deposition of Thomas Eugene Kramer to be admitted into evidence because Appellee failed to prove compliance with Civil Rule 32(A)(3).
“9. The Court erred by allowing the opinion of Appellee’s expert to be admitted into evidence.
“10. The Court erred in allowing Appellee to elicit testimony that its invoicing procedure met the community standards.
“11. The Court erred by excluding evidence of Appellants’ damages incurred as a result of Appellee’s breach of contract.
*510 “12. The Court erred in refusing to give Appellants’ requested jury instruction that made Appellee’s duty to provide data substantiating its right to payment a condition precedent to Appellants’ duty to pay.”

The evidence discloses that Richard O. and Barbara M. Chakroff own land on High Street in Worthington. In 1983, the Chakroffs decided to build an office building on the land and commenced securing bids for the work.

Jaric, Inc. is a mechanical contractor who does heating, ventilating, and air conditioning (“HVAC”) work for commercial, industrial, and institutional projects. In November 1984, Jaric submitted a two-part bid for the HVAC work to be done on the construction project. The part of the bid at issue herein is the base work for the building system.

In mid-December 1984, appellants authorized Jaric in writing to begin HVAC work on the construction project. The commencement of work was based upon the acceptance of Jaric’s bid and Jaric did commence work without entering into a written contract, although in January appellants gave appellee an American Institute of Architects (“AIA”) form contract entitled “general conditions of the contract for construction.” Appellee ultimately signed and returned the contract. It was undisputed that appellants never signed the contract.

The main divergence of testimony concerns the manner in which Jaric completed its work, the amount of work that Jaric completed before Jaric was either ordered off the job or voluntarily left the job, and the value of the performance of Jaric.

Jaric submitted its first invoice to appellants on January 25, 1985 in the amount of $24,000. Appellants were not satisfied with the details of the first invoice and Jaric expanded this invoice by breaking it into sub-categories by floor. Jaric submitted its second invoice to appellants on February 22, 1985 in the amount of $118,746. At that time, Jaric had not been paid for its first invoice.

Upon receipt of Jaric’s second invoice, appellants asked appellee to submit a supplemental bill listing the material costs and documentation. James Lantz, President of Jaric, suggested a walk-through of the contract site to enable appellants to determine if the work billed had actually been done, but appellants refused. Parenthetically, appellants were operating strictly through defendant Richard O. Chakroff. Chakroff admitted that he had not submitted the dispute to the architect as required by a provision in the AIA form contract, if that contract were applicable.

According to Lantz, Chakroff verbally fired Jaric and ordered Jaric removed from the job before it had an opportunity to supply the requested supplemen *511 tal documentation. Jaric received a written formal notice of dismissal on February 27, 1985, after allegedly having been verbally fired on February 22. Lantz further testified that when he asked Chakroff if they had a contract after Chakroff told Jaric to leave the job, Chakroff denied that the contract existed saying that he had not signed it. Chakroff contends that the documentation which he requested was completely reasonable and that Jaric walked off without justification rather than being fired for failure to provide the documentation. Lantz testified that the billing procedure of Jaric was within the ordinary practice of the industry, that he requested a walk-through of the job with the architect and/or Chakroff, and that Jaric had completed seventy percent of the work at the time it was ordered off the job in breach of the contract. Chakroff insisted that only a small percentage of the work had been completed and offered testimony that only ten or twenty percent of the work was completed when Jaric left the premises.

Several months after Jaric left the job, appellants engaged other persons to complete the HVAC work. Appellants submitted proof of the cost of that work.

Further facts will be discussed in relation to the assignments of error.

In their first assignment of error, appellants assert that a valid mechanic’s lien is a prerequisite to bringing a suit on the underlying contract. To support this contention, appellants cite the following language from R.C. 1311.04 which sets forth procedural requirements which must be met before a contractor has a right of action or lien against the owner. The cited language reads as follows:

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Bluebook (online)
579 N.E.2d 493, 63 Ohio App. 3d 506, 1989 Ohio App. LEXIS 2707, Counsel Stack Legal Research, https://law.counselstack.com/opinion/jaric-inc-v-chakroff-ohioctapp-1989.