Norfolk & Western Railroad v. Mills & Fairfax

22 S.E. 556, 91 Va. 613, 1895 Va. LEXIS 59
Supreme Court of Virginia·Decided July 11, 1895·Published·Cited by 30 cases

Opinions

Cardwell, J.,

delivered the opinion of the court.

This case is the sequel to the case of Mills & Fairfax v. N. & W. R. R. Co., 90 Va. 528, and grows out of a contract under seal between Mills & Fairfax and the N. & W. R. R. Co., dated the 1st day of February, 1887, whereby Mills & Fairfax agreed with the railioad company to build a specified portion of the Elkhorn blanch of the Flat Top extension of the company’s line of railroad, including the tunnel to be excavated to a finished section in a rectangular shape sixteen feet wide and nineteen feet high above sub-grade, through the Flat Top mountain on the Number 3 Coal Bed. The contract is voluminous, but the whole controversy depends upon [620] the price to be paid for the excavation of certain sections of the tunnel, Henry Fairfax, one of the contractors who did the work, and for whose benefit the suit is brought, maintaining that he is entitled to $3.50 per cubic yard instead of $1.75, the amount allowed him. The following provisions in the contract bear directly on this subject: “For Flat Top tunnel excavation, coal at 85 cents per ton of 2,210 lbs; for Flat Top tunnel excavation, rock and other material, at $1.75 per cubic yard. ” * * * “The nineteen (19) feet of height of the section (of the tunnel) will be made up in its lower half partly of No. 3 coal bed, and its upper half of the over-lying slates, fire-clay and sandstone. ” * * * “If the coal bed should become of a less thickness than four feet exclusive of the slates and coal not usually mined in run of mine coal in adjoining collieries, this will entitle the contractor to the price of three and one-half ($3.50) dollars per cubic yard for the entire section of the tunnel instead of the prices for coal and other excavation mentioned herein.”

The contract also contains these provisions: “III. Payment is to be made by the party of the second part for work done and materials furnished under this contract, on or about the fifteenth day of each month, upon proper estimates rendered on the last clay of the preceding month for the work done and materials furnished during the preceding month to the extent of and not beyond 85 per cent, of the amount of such estimates, and such monthly estimate, to be valid, must be accompanied by the certificate of the engineer of the company approving the same and declaring that the work done and materials furnished as therein stated are according to this contract, and that the charges for the same are according to this contract, and without such certificate, no estimate shall be valid and no payment can be demanded, and in all questions connected with such estimates and the amounts payable thereby and thereunder, the decision of the said engineer shall [621] be final and conclusive on all parties; and the balance thereof, or the 15 per cent, remaining due on such estimates, shall not be payable until the whole work to be done under this contract has been fully completed, but shall be kept back as part of the security for the performance of this contract on the part of the parties of the first part.”

££IV. When the engineer in charge has furnished his certificate that all the work embraced in this contract has been completed agreeably to the specifications and in accordance with the directions and to the satisfaction and acceptance of the said engineer, there shall be a final estimate made of the quality, character, and value of said work, according to the terms of this agreement, when the balance appearing due to the said parties of the first part according to the certificate of said engineer, shall be paid to them within thirty days thereafter upon their giving a release under seal to the party of the second part from all claims or demands whatsoever, growing in any manner out of this agreement, and upon their procuring and delivering to the party of the second part full release in proper form and duly executed, from mechanics and material men, of all liens, claims, and demands for materials furnished and provided, and work and labor done and performed upon or about the work herein contracted for under this contract.”

All work under the contract having been completed by Henry Fairfax, to whom Mills had assigned all interest therein, and Fairfax refusing to accept payment according to the final estimates made out and certified to by the engineer, under the fourth clause of the contract, an action of covenant was instituted in the court below to recover the 15 per cent, reserved under ££ section 3” of the contract, and the difference between $1.75 per cubic yard and $3.50 for a section of 1,200 lineal feet, equal to 13,200 cubic yards, of the tunnel from which the coal vein entirely disappeared.

[622] The allegations contained in the three counts in the declaraton filed, may be briefly stated as follows:

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Norfolk & Western Railroad v. Mills & Fairfax, 22 S.E. 556, 91 Va. 613, 1895 Va. LEXIS 59 (Va. 1895).

22 S.E. 556 (Norfolk & Western Railroad v. Mills & Fairfax) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

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