Molloy v. . City of New Rochelle

92 N.E. 94, 198 N.Y. 402, 1910 N.Y. LEXIS 813
CourtNew York Court of Appeals
DecidedMay 10, 1910
StatusPublished
Cited by43 cases

This text of 92 N.E. 94 (Molloy v. . City of New Rochelle) is published on Counsel Stack Legal Research, covering New York Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Molloy v. . City of New Rochelle, 92 N.E. 94, 198 N.Y. 402, 1910 N.Y. LEXIS 813 (N.Y. 1910).

Opinions

Chase, J.

Provisions similar to the one in the defendant’s charter from which we have quoted are common in municipal *406 charters everywhere. Such provisions are intended to prevent favoritism. They result from an effort to prevent official action being influenced by improper motives. The same effort to prevent improper official action finds expression in the Village Law (section 332), the General City Law (section 3) and in many municipal charters, where it is provided that an officer therein shall not be directly or indirectly interested in a contract which he, or a board of which he is a member, is authorized to make on behalf of the municipality.

Municipal officers acting in behalf of the municipality should not have a personal interest in determining who shall be awarded a contract or be affected in any way in their official action towards a favorite among the bidders. Such contracts should be made with the lowest responsible bidder therefor, because there is less opportunity in contracts so let for improper special agreements to the disadvantage of the corporation, and such contracts are in consequence thereof, and because of the competition, more economical for the municipality. The meaning and purpose of provisions in municipal charters requiring that contracts shall be made with the lowest responsible bidders therefor have been repeatedly defined and stated by the courts.

In Brady v. Mayor, etc., of N. Y. (20 N. Y. 312) the court, referring to a similar provision in the charter of the city of Eew York, say: “It was based upon motives of public economy, and originated, perhaps, in some degree of distrust of the officers to whom the duty of making contracts for the public service was committed. If executed according to its intention, it will preclude favoritism and jobbing, and such was its obvious purpose. It does not require any argument to show that a contract made in violation of its requirements is null and void.” (p. 316.)

In People ex rel. Coughlin v. Gleason (121 N. Y. 631) the court, referring to a similar provision in the charter of Long Island City, say: “ This provision was inserted in the charter undoubtedly to prevent favoritism, corruption, extravagance and improvidence in the procurement of work and supplies *407 for the city, and should be so administered and construed as fairly and reasonably to accomplish this purpose.” (p. 634.)

Such a statutory provision enacted as a protection to the corporation cannot be used to make a disobedience of its provisions by the municipal officers a double source of punishment to the municipality. If the plaintiff is right in his contention then a disobedience of the provisions of the statute will make the municipality pay the difference between the lowest bid and the bid for which the contract is made and also the profit that the lowest responsible bidder would have made if the statute had not been violated. But such is not the purpose of the charter provision.

In Strong v. Campbell (11 Barb. 135) the court say: “ Whenever an action is brought for a breach of duty imposed by statute, the party bringing it must show that he had an interest in the performance of the duty, and that the duty was imposed for 1ns benefit. But where the duty was created or imposed for the benefit of another, and the advantage to be derived to the party prosecuting, by its performance, is merely incidental and no part of the design of the statute, no such right is created as forms the subject of an action.” (p. 138.)

In East River Gas Light Company v. Donnelly (93 N. Y. 557) the court, referring to a similar statute, say : “ The statute merely provides a scheme for the prudent administration of the affairs of the city, and has imposed a duty upon the defendants to carry it out. This duty appears, from the plaintiff’s showing, to have been violated. But the duty is a public duty to the city or people at large, not to the plaintiff or for the benefit of individuals, or the promotion of any private interest, nor has the statute given to the plaintiff or any person an action for its violation.” (p. 561.)

The court used the language quoted in an action brought by the plaintiff against the defendants, who composed the common council of Long Island City, to recover against them individually the damages which he claimed to have incurred by reason of their failure to obey the statute. Such language, *408 however, is applicable to this action in which the plaintiff seeks to make the municipality respond, in damages for the failure of its officers to obey a statute enacted for the express purpose of protecting the municipality in its property rights. The statute was not enacted for the benefit of the plaintiff, and he cannot recover by reason of its provisions. (Talbot Paving Co. v. City of Detroit, 109 Mich. 657.)

Although the plaintiff asserts rights under the statute, he also claims to be entitled to recover on contract. Mo contractual relation can arise merely from a bid unless by the terms of the statute and the advertisement a bid in pursuance thereof is, as a matter of law, an acceptance of an offer wholly apart from any action on the part of the municipality or any of its officers. Such plainly is not the plaintiffs case. The statute and the advertisement in this case call for proposals. The common council reserved the right to reject any and all bids. Under a statute requiring that all contracts shall be awarded to the lowest bidder, the body awarding the contract acting in good faith may refuse to so award the contract if they deem it for the best interest of the city to do so, and may reject all of the bids and readvertise. ( Walsh v. Mayor, etc., of New York, 113 N. Y. 142.)

This court in Erving v. Mayor, etc., of New York (131 N. Y. 133) say: “ The awarding of the contract on the part of the officer to one of several bidders requires the exercise on his part of judgment and discretion and the award itself should be manifested by some formal official act on his part, and ordinarily reduced to writing and made a part of the records in his department. In no other way can the rights of the parties be preserved, at least prior to the actual execution of the contract. The mere arithmetical operation of ascertaining which bid is the lowest does not constitute an award. The duty of the commissioner to examine the proposals and award the contract is judicial in its nature and character, and the award is the result of a judicial act.” (p. 138.)

The plaintiff’s bid in this case was never accepted. It was expressly rejected by the common council. The plaintiff, *409 therefore, does not sustain a contractual relation with the defendant and cannot sustain this action as upon contract. The authorities mentioned hy the plaintiff are all distinguishable from this case. They are each based upon an accepted bid.

In Lynch v. Mayor, etc., of N. Y. (2 App. Div.

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

Related

Seneca Mineral Co. v. County of Chautauqua
797 F. Supp. 237 (W.D. New York, 1992)
Stride Contracting Corp. v. Board of Contract & Supply
181 A.D.2d 876 (Appellate Division of the Supreme Court of New York, 1992)
People v. Jacobs
129 Misc. 2d 21 (New York Supreme Court, 1985)
Superior Hydraulic, Inc. v. Town Board
88 A.D.2d 404 (Appellate Division of the Supreme Court of New York, 1982)
Matter of Marine Elec. Ry. Prods. Div., Inc.
17 B.R. 845 (E.D. New York, 1982)
Weimer v. Board of Education
418 N.E.2d 368 (New York Court of Appeals, 1981)
Fischbach & Moore, Inc. v. New York City Transit Authority
79 A.D.2d 14 (Appellate Division of the Supreme Court of New York, 1981)
City of Scottsdale v. Deem
556 P.2d 328 (Court of Appeals of Arizona, 1976)
Rochester Plumbing Supply Co. v. A. Burgart, Inc.
49 A.D.2d 78 (Appellate Division of the Supreme Court of New York, 1975)
MA Stephen Const. Co. v. Borough of Rumson
308 A.2d 380 (New Jersey Superior Court App Division, 1973)
M. A. Stephen Construction Co. v. Borough of Rumson
288 A.2d 873 (New Jersey Superior Court App Division, 1972)
Rubino v. Lolli
10 Cal. App. 3d 1059 (California Court of Appeal, 1970)
North Country Development Corp. v. Massena Housing Authority
65 Misc. 2d 105 (New York Supreme Court, 1970)
Warren Bros. v. Craner
30 A.D.2d 437 (Appellate Division of the Supreme Court of New York, 1968)
Carroll-Ratner Corp. v. City Manager of New Rochelle
54 Misc. 2d 625 (New York Supreme Court, 1967)
Allen v. Eberling
24 A.D.2d 594 (Appellate Division of the Supreme Court of New York, 1965)
Stahl Soap Corp. v. City of New York
9 A.D.2d 964 (Appellate Division of the Supreme Court of New York, 1959)

Cite This Page — Counsel Stack

Bluebook (online)
92 N.E. 94, 198 N.Y. 402, 1910 N.Y. LEXIS 813, Counsel Stack Legal Research, https://law.counselstack.com/opinion/molloy-v-city-of-new-rochelle-ny-1910.