Olson v. Quality-Pak Company

469 P.2d 45, 93 Idaho 607, 1970 Ida. LEXIS 221
CourtIdaho Supreme Court
DecidedApril 30, 1970
Docket10576
StatusPublished
Cited by17 cases

This text of 469 P.2d 45 (Olson v. Quality-Pak Company) is published on Counsel Stack Legal Research, covering Idaho Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Olson v. Quality-Pak Company, 469 P.2d 45, 93 Idaho 607, 1970 Ida. LEXIS 221 (Idaho 1970).

Opinion

DONALDSON, Justice.

On June 28, 1966, the Olson Construction Company (plaintiff-appellant) and the ■Quality-Pak Company (defendant-respondent) entered into a written contract whereby Olson Construction was to build a potato cellar for Quality-Pak in consideration of "the sum of $10,250. The terms of payment were prescribed as follows:

(1) $2,000 when the contract is entered into;
(2) $3,500 when hole is dug, footings are in, and logs delivered;
(3) $2,500 when rafters are up and sheeting is placed thereon;
(4)$2,250 when ends are erected, vents are placed and cellar is covered with dirt.

The contract furthermore provided that construction was to be completed by September 1, 1966. As heretofore stated the third payment ($2,500) was due “when rafters are up and sheeting is placed thereon.” Upon Olson Construction Company’s request for the third payment, in the early part of September, Quality-Pak asked Olson to cable the cellar in the middle in order to prevent it from collapsing. This Olson did, and the third payment ($2,500) was subsequently made on the 3rd of October, 1966. The evidence indicated that the Olson Construction Company was aware of the fact that Quality-Pak had 800 acres of potatoes which required storage by the fall of 1966. As previously stated, the contract expressly provided that construction was to be complete by the 1st of September, 1966. However the cellar was not in fact completed until the 28th of October, 1966. In order to avoid damage to its potato crop, Quality-Pak, during the latter part of September, began to store the. potatoes in the incomplete cellar.

Olson Construction Company (plaintiff-appellant) commenced suit in the district court against Quality-Pak (defendant-respondent) for the unpaid balance of the contract price ($1,746). Quality-Pak counterclaimed for damages in the amount of $10,000 alleging that by reason of the failure of Olson Construction Company to complete the cellar, their potatoes became frozen.

Subsequent to trial without a jury, the following judgment was entered:

Quality-Pak is entitled to judgment on its counterclaim against Olson Construction in the sum of $4,050 which represents a loss of 2700 cwt., and that plaintiff (Olson) is allowed to setoff against that judgment the contract sued upon in the sum of $1,746.

Olson Construction Company has appealed from the judgment and order of the district court denying plaintiff’s (017 *609 son’s) motion to amend the findings of fact and conclusions of law.

The fundamental question posed by this appeal is whether the delay in the completion of the contract for the construction of the potato cellar was in fact attributable to: (1) the allegedly late third payment made by Quality-Pak or (2) cabling work demanded by Quality-Pak. The record reveals a conflict in the evidence as to the date that the “rafters were up and sheeting placed thereon.” However this date becomes immaterial in the case since the record indicates that the written agreement was modified by subsequent oral negotiations between the parties. 1 Subsequent oral negotiations may vary the terms of a written contract. Haskins v. Curran, 4 Idaho 573, 43 P. 559 (1895); Brooks v. Beach, 50 Idaho 185, 294 P. 505 (1930); Smith v. Washburn-Wilson Seed Co., 54 Idaho 659, 34 P.2d 969 (1934); Idaho Gold Dredging Corp. v. Boise Payette Lumber Co., 62 Idaho 683, 115 P.2d 401 (1941). The evidence indicates that Olson Construction acquiesced in Quality-Pak’s demand and thereby: (1) agreed to perform the cabling; (2) agreed to accept payment (the third payment) after the cabling was completed. Prior to Olson’s acquiescence to Quality-Pak’s demand, Olson was under no obligation to do the extra cabling. This Court can only speculate as to the reason Olson Construction complied with the demand. In any case, Olson thought it best to do as Quality-Pak requested. However Olson Construction may not now excuse itself under the guise of “extra work” when in fact the work was not “extra,” but rather became an integral component of the original contract. It is now bound by that modification and its attendant consequences.

As a general rule, an oral modification of a single' provision of a written contract has no effect upon the unmodified terms and they remain unaltered by the subsequent oral modification. However in the case at bar the record reveals that it was impossible to complete the contract by the date originally agreed upon in the written contract (September 1, 1966) because the cabling work was not requested until about September 1, 1966. 2 The *610 question then posed is, “How much additional time was Olson Construction entitled to for cabling the middle of the cellar?” The record indicates that Olson needed about a week “to complete the cabling.” 3 Thus the maximum period of delay occasioned by Quality-Pak’s request to cable the middle of the cellar amounted to no longer than one week. An excused delay of one week in completion would still not bring the appellant within compliance of the terms of the contract since the work was not completed until October 28, 1966.

As to the delay in the third payment which was to be made after cabling was completed, the record does not indicate the precise date upon which the cabling work was completed but it appears from the record that it was some time around September 15, 1966. However there is testimony indicating that whenever Olson did in fact complete the cabling job, it did not inform Quality-Pak of the completion nor did it ask Quality-Pak for the third payment at this time. 4 It was Quality-Pak that notified Olson that it was prepared to make the third payment. 5 Under these circumstances it cannot be said that Quality-Pak delayed in making the third payment. Moreover assuming arguendo that payment was delayed, such delay was waived by Olson’s failure to notify QualityPak that the cabling was complete and that payment was due.

Appellant also contends that it was error for the trial court to award damages to Quality-Pak since damage to a crop by the elements is too remote and speculative for allowance. It is true that where the evidence discloses that the damages to a crop are remote and speculative they may not be recovered. Lockwood Graders of Idaho v. Neibaur, 80 Idaho 123, 326 P.2d 675 (1958). However this Court endorsed the following definition of “remote damages” :

“ ‘Remote damages. Remote damages are such as are the result of accident or an unusual combination of circumstances which could not reasonably be anticipated, and over which the party sought to be charged had no control.’ ” Lockwood Graders of Idaho v. Neibaur, supra,

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Bluebook (online)
469 P.2d 45, 93 Idaho 607, 1970 Ida. LEXIS 221, Counsel Stack Legal Research, https://law.counselstack.com/opinion/olson-v-quality-pak-company-idaho-1970.