Norris Industries v. Halverson-Mason Constructors

529 P.2d 1113, 12 Wash. App. 393, 1974 Wash. App. LEXIS 1143
CourtCourt of Appeals of Washington
DecidedDecember 30, 1974
Docket852-3
StatusPublished
Cited by5 cases

This text of 529 P.2d 1113 (Norris Industries v. Halverson-Mason Constructors) is published on Counsel Stack Legal Research, covering Court of Appeals of Washington primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Norris Industries v. Halverson-Mason Constructors, 529 P.2d 1113, 12 Wash. App. 393, 1974 Wash. App. LEXIS 1143 (Wash. Ct. App. 1974).

Opinions

Green, C.J. —

Plaintiff, Norris Industries, brought this action to foreclose a lien against the retention fund held by the Chelan County PUD pursuant to RCW 60.28.010 involving public construction. Defendants, Halverson-Mason Constructors and Urban, Inc., contested the foreclosure. These defendants appeal from an order granting summary judgment in favor of the plaintiff.

Defendants assign four errors: (1) Summary judgment should not have been granted because of unresolved issues of fact; (2) because plaintiff was not registered under the contractors’ registration act, its complaint should have been dismissed; (3) plaintiff, a second-tier subcontractor, is too remote to recover from a retention fund; (4) the motion for summary judgment should have been determined by a judge of the Superior Court rather than a court commissioner sitting as judge pro tempore.

Halverson-Mason was the principal contractor for the Chelan County PUD as to certain construction work on the Rocky Reach Hydroelectric Project. They subcontracted a portion of the work to Urban, Inc. In turn, Urban subcontracted the installation of a fire protection system to National Industrial Corporation. National contracted with plaintiff to supply the fire protection system. Halverson-Mason paid Urban and Urban paid National the entire amount owing on its contract, but National became insolvent and plaintiff was not paid. As required by statute, the PUD retained a percentage of the monies due Halverson-Mason for the protection of those named in the statute. If plaintiff is entitled to foreclose its lien as the trial court found, it is undisputed that such lien was timely filed against the retention fund held by the PUD.

First, defendants contend that questions of material fact exist and summary judgment should not have been granted. Resolution of this issue depends upon the con[395]*395struction given RCW 60.28.010. Under this statute, the PUD was required to hold back certain sums from monies earned by the prime contractor, Halverson-Mason:

Contracts for public improvements or work, other than for professional services, by the state, or any county, city, town, district, board, or other public body, herein referred to as “public body”, shall provide, and there shall be reserved by the public body from the moneys earned by the contractor on estimates during the progress of the improvement or work, a sum equal to ten percent of the first one hundred thousand dollars and five percent for all amounts over one hundred thousand dollars of such estimates, said sum to be retained by the state, county, city, town, district, board, or other public body, as a trust fund . . ,

to protect and pay

any person or persons, mechanic, subcontractor or materialman who shall perform any labor upon such contract or the doing of said work, and [2] all persons who shall supply such person or persons or subcontractors with provisions and supplies for the carrying on of such work, . . . Every person performing labor or furnishing supplies toward the completion of said improvement or work shall have a lien upon said moneys so reserved:

(Italics ours.) Defendants insist that issues of fact exist as to whether plaintiff is entitled to recover under these provisions.

Defendants urge that the items furnished by plaintiff were either, not lienable under the statute as a matter of law or an issue of fact exists as to what portion, if any, is lienable. They contend plaintiff can prevail only if the fire extinguisher system it sold National constitutes materials, rendering plaintiff a materialman under the statute. A description of the fire extinguisher system is contained in the affidavit of defendants’ counsel, as follows:

The system provided by Norris Industries, according to Mr. Robert’s testimony, consisted of approximately 50 CO2 Tanks. Attached to the tanks were various valves, [396]*396regulators, sensing devices and appurtenances. Norris Industries also provided nozzles, which screwed into mechanical piping installed by another contractor. The tanks, valves, regulators, sensing devices and other appurtenances were not fabricated into or connected into the structure. Instead, brackets which were provided by Norris Industries were screwed or bolted to the structure. The tanks and other items were then set down on the floor of the structure and were held in place by a saddle and clamp arrangement which projected from the brackets attached to the walls.

and in the oral argument of defendants’ counsel:

The tank sits on the floor. Attached to a tank are some regulators and valves and a manifold system, devices which sense the existence of a fire and which makes this system work automatically to spread carbon dioxide — .
These various devices are attached to the tanks. There comes out of the tanks a piping system which is attached to a piping system in the building but runs into the generator housing. In the generator housing, as the diagram will show, there are pipes running around like this and at various places on the pipe are little T’s and a nozzle screws into the T’s. Mr. Roberts says that Norris Industries provided the brackets, the saddle, the clamp, the tank, the appurtenances attached to the tank; they didn’t provide any of the mechanical piping that is part of the building, they didn’t provide this piping, this stuff I am crossing out. They provided the nozzles that screw in.

(Italics ours.) These statements are uncontradicted.

In Western Clinic & Hosp. Ass’n v. Gabriel Constr. Co., 168 Wash. 411, 414, 12 P.2d 417 (1932), the court, construing the predecessor retainage statute as to lienable items, said:

We have repeatedly defined materials as including such articles only as enter into and form a part of the finished structure. [Citations omitted.]

Under this definition of “materials,” it is clear that the C02 equipment furnished by plaintiff “entered into and formed a part of the finished structure.” While the tanks are removable for refilling purposes, they are just as essen[397]*397tial a part of the total fire protection system as the pipes that run throughout the dam. In fact, they become a part of the system running throughout the dam when the nozzles are screwed into the pipes. Without this equipment, there would be no fire protection system. Hence, on the record before us, there is no issue of fact over whether the items furnished by plaintiff were lienable materials.

Further, defendants contend that the measure of plaintiff’s recovery is the reasonable value of the materials furnished and not the contract price. It is urged that what is a reasonable value presents a question of fact. In support of their position, they rely upon Maryland Cas. Co. v. Tacoma, 199 Wash. 72, 87, 90 P.2d 226, 123 A.L.R. 799 (1939), where the court said:

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Norris Industries v. Halverson-Mason Constructors
529 P.2d 1113 (Court of Appeals of Washington, 1974)

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Bluebook (online)
529 P.2d 1113, 12 Wash. App. 393, 1974 Wash. App. LEXIS 1143, Counsel Stack Legal Research, https://law.counselstack.com/opinion/norris-industries-v-halverson-mason-constructors-washctapp-1974.