Jordan v. City of Beaumont

337 S.W.2d 115, 1960 Tex. App. LEXIS 2357
CourtCourt of Appeals of Texas
DecidedJune 16, 1960
Docket6346
StatusPublished
Cited by17 cases

This text of 337 S.W.2d 115 (Jordan v. City of Beaumont) is published on Counsel Stack Legal Research, covering Court of Appeals of Texas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Jordan v. City of Beaumont, 337 S.W.2d 115, 1960 Tex. App. LEXIS 2357 (Tex. Ct. App. 1960).

Opinion

McNEILL, Justice.

The action was instituted by appellant against appellee, herein sometimes referred to as City, to recover his bid deposit or guaranty of $8,500 which represented 5 percent of the bid he had made in response to a call for bids by appellee for the installation of a certain water main in the City of Beaumont. Five bids were submitted on this project and they were opened by the City Council on July 9, 1957. Appellant’s bid for the project was $169,023.40. This figure made him the lowest bidder by a considerable margin. The Council took the bids under advisement until July 16, 1957 and in the meantime appellant rechecked the calculations of his bid and discovered that he had made a mistake in transposing figures from his work sheets to the bid form resulting in the omission of $27,260 from his total bid. Appellant, who lives in Houston, telephoned George Schaumburg, Consulting Engineer for the City on the project, and made a!n appointment to see him about the matter. He wrote a letter to Mr. Schaumburg advising him of the error made in his calculations and asked that his bid be withdrawn. His letter was dated July 12th and was delivered to Mr. Schaumburg in Beaumont on the morning of July 12th. About the same time appellant delivered to the City Manager a letter addressed to the City and its officials advising them of his mistake and requesting that his bid be withdrawn.

*117 City Council met on July 16th and although having appellant’s letter requesting his bid be withdrawn before it, proceeded to accept his hid and award the contract for the improvements to him, upon Mr. Schaumburg’s recommendation. While appellant’s letter was read by the Council, appellant, who attended this meeting, made no additional request there that his hid be withdrawn. Immediately, however, after the meeting was adjourned he and Mr. Schaum-burg held a conference and Schaumburg urged him to carry out the contract. Both Mr. Schaumburg and appellant testified at the trial below and the evidence showed that appellant was persuaded to carry out his contract provided he could make the performance bond required in the contract documents. Mr. Schaumburg told appellant that he felt for appellant’s standing and reputation as a contractor it would he well if he proceeded with the contract even though he would only break even or lose something on the project. Appellant told Mr. Schaumburg since he had made this material mistake it would be difficult to obtain a surety company to go his bond. The facts show that he did make a reasonable attempt to obtain bond but failed to do so although the City gave him an extension of time therefor.

On August 8th he advised the City that he was unable to make performance bond and the City Council on August 13th forfeited his bid deposit.

Appellant thereupon made demand upon the City for the return of his deposit, and having been refused, instituted this suit alleging that he acted in good faith and exercised reasonable care in submitting the bid but through inadvertence the mistake occurred, notwithstanding such care. Ap-pellee answered that appellant after having discovered his mistake nevertheless by action and conduct reaffirmed and ratified the contract and waived his right to withdraw his bid, and because thereof, he is estopped to allege error or mistake. In addition, the City filed a cross action asserting, that as a result of appellant’s failure to perform his contract with the City it had to read-vertise for bids at an expense of $1,000 and the work was then let for $203,063.90, a substantially higher price, and that consequently the City was damaged in the sum of $35,040.50, that being the difference between appellant’s bid and the amount the project was let for, plus $1,000 expenses of read-vertising for bids.

Five special issues were submitted to the jury. Their answers to the first three were: 1. Appellant intended to include an additional amount of $2.38 per lineal foot in his unit bid for Item 1-A, 2. Appellant’s failure to include such additional amount was the result of an honest mistake, 3. Such mistake was not due to the failure of appellant to exercise ordinary care and prudence. Issues Nos. 4 and 5 with the jury’s answers are:

“Special Issue No. 4
Do you find from a preponderance of the evidence that after R. F. Jordan discovered his mistake or error, if any, he ratified the bid proposal which he made to the City of Beaumont under date of July 9, 1957? Answer “Yes” or “No”. Answer: No.
By the term “ratified”, as used in the foregoing issue, is meant the doing of some act, with full knowledge of the facts rendering a prior act invalid, with the intention of giving validity to such prior act.
' Special Issue No. 5
Do you find from a preponderance of the evidence that after R. F. Jordan discovered his error or mistake, if any, he nevertheless decided to perform the obligations and duties under the bid proposal made to the City of Beaumont under date of July 9, 1957? Answer “Yes” or “No”. Answer: Yes.”

Appellant filed his motion to disregard the jury’s finding to Special Issue No. 5 as being without support in the evidence and, disregarding such finding, for judgment on the verdict; and the City filed motion for judgment on the verdict. The trial court overruled appellant’s motion and granting *118 the City’s motion adjudged that appellant recover nothing from the City, to which action appellant excepted. The court further overruled the City’s motion for judgment on its cross action and adjudged that it take nothing against appellant thereon to which action the City excepted.

His motion for new trial complaining of the part of the judgment against him having been overruled, appellant perfected his appeal therefrom and has filed his brief containing four points. While the City excepted to that part of the judgment adverse to it, it has perfected no separate appeal but has filed its brief answering appellant’s points and has filed four cross-points of error urging its right to recover damages on its cross action against appellant for breach of his contract.

Without stating separately appellant’s points, it is sufficient to say they urged that the trial court committed error in submitting Special Issue No. 5 because there was no evidence justifying its submission and because it is not a controlling but evidentiary issue. By its counter points the City maintains exactly the opposite.

No attack is made upon the findings of the jury in answer to the first three issues. We accept, therefore, the facts that appellant made an honest mistake in his bid and in doing so he was not negligent. This would establish his right to a return of his bid deposit. James T. Taylor & Son v. Arlington Ind. Sch. Dist., Tex., 335 S.W.2d 371; State Highway Comm. v. Canion, Tex.Civ.App., 250 S.W.2d 439. Unless it was shown that appellant after discovering his mistake ratified the bid proposal or waived his right to withdraw it.

To present appellee’s defense the able trial judge submitted Issue No. 4 and the accompanying definition of the term “ratified”.

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Bluebook (online)
337 S.W.2d 115, 1960 Tex. App. LEXIS 2357, Counsel Stack Legal Research, https://law.counselstack.com/opinion/jordan-v-city-of-beaumont-texapp-1960.