Otis Elevator Co. v. Long

130 N.E. 265, 238 Mass. 257, 1921 Mass. LEXIS 962
CourtMassachusetts Supreme Judicial Court
DecidedApril 1, 1921
StatusPublished
Cited by11 cases

This text of 130 N.E. 265 (Otis Elevator Co. v. Long) is published on Counsel Stack Legal Research, covering Massachusetts Supreme Judicial Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Otis Elevator Co. v. Long, 130 N.E. 265, 238 Mass. 257, 1921 Mass. LEXIS 962 (Mass. 1921).

Opinion

Pierce, J.

This is a suit in equity brought by the Otis Elevator Company in its own behalf and upon the behalf of all creditors of George Baker Long, who performed or furnished labor or furnished materials used in the construction of an addition to the Public Library building located at 19 Blagden Street, in Boston, as hereinafter mentioned, and have filed a sworn statement of their claims as provided for by St. 1909, c. 514, § 23, who may care to join. The case is before this court on a reservation and report of a judge of the Superior Court, which reads as follows: “This case came on to be heard before me after the confirmation of the master’s report, and at the request of the parties I reserve and report the case upon the pleadings, the master’s report, the exceptions to the master’s report, the interlocutory decree confirming the master’s report, the memorandum of rulings and findings, and all questions of law for the consideration of the [260]*260Supreme Judicial Court, such decree to be entered as justice and equity may require.”

After the filing of the bill thirty-five individual persons, firms or corporations were allowed to intervene.

The bill alleges that, on April 26/1916, by an instrument in writing, a copy of which is annexed, a contract was executed by and between the city of Boston, by the trustees of the Public Library, and George Baker Long and that the contract was approved by the mayor on April 29, 1916. The master finds the foregoing allegations are true and further finds that a bond was duly executed by the defendant National Surety Company by its officers thereunto duly authorized, on April 26, 1916, in the following form:

“The undersigned surety company hereby binds itself, its successors and assigns, to pay to the City of Boston the sum of thirty-one thousand two hundred and fifty ($31,250) dollars.
“This obligation is upon the condition that if the party to the contract hereto annexed, other than the City, shall faithfully furnish and do everything therein required of the party, on his part to be kept and performed, and shall also pay for all labor performed or furnished, and for all materials used in the carrying out of said contract, then this obligation shall become and be null and void; otherwise it shall be and remain in full force and virtue.”

The master further finds that the city by virtue of Article 6 of the contract, withheld from Long fifteen per cent of the sums which became due him each month as the work progressed, $19,-177.33; that this sum and the bond for $31,250 constitute the security which the officers or agents who contracted in behalf of the city provided for the payment by the contractor and his subcontractors for labor performed or furnished and for materials .used in the construction of the building; that the architect appointed to supervise the work was Joseph McGinniss, and his assistant was John M. Gray; and that the trustees of the Public Library were designated in the contract as the “Officers” who were authorized to represent the city, which was designated as the owner. The general contractor,. Long, shortly after the date of the execution of the contract, began the performance of the work, and in the course thereof made subcontracts for various parts of the work. Long became involved in financial difficulties [261]*261and did not complete the work. He abandoned it at some time between the first and twenty-first of December, 1917. On December 21, 1917, the architect notified the trustees of the Public Library, in writing, that the general contractor, Long, had abandoned the work and advised them to proceed under Article 5 of the contract; and on the same date the trustees of the Public Library voted to proceed in accordance with that recommendation.

Article 5 of the contract reads as follows: “If the Contractor at any time is not carrying on the work to the satisfaction of the Architect or Officer, or is not observing any of the provisions of the contract, or has abandoned the work, or become insolvent or assigned his property, the City acting by the Officer and at his discretion, may, with or without notice to the Contractor, or advertising for doing the work, and by contract, day labor or otherwise, use any materials, implements or machinery on or about the work or otherwise, and do any part of the work which the Contractor has failed to do, or replace any part not done to the satisfaction of the Architect or Officer, or take possession of the work and complete the same.”

The city, acting by the “Officer,” the trustees of the Public Library corporation, took possession and control of the work and proceeded to have it completed. The subcontractors whose work was unfinished at the time of the abandonment of the contract by Long were ordered by the city to complete their work. On February 1,1918, the architect notified the National Surety Company that he had been authorized by the trustees of the Public Library to finish the work and charge it up to the balance due to Long.

Under articles 4 and 7 the architect is authorized to determine various matters including the date of the completion of the work, and the contractor is bound thereby, subject to an appeal to the “Officer,” trustees of the Public Library, whose decision shall be final and binding. The architect was in charge of the work on the building until June of 1918, and he had his assistant take charge of it after that time. Shortly before September 6, 1918, the assistant made an investigation to determine what work was unfinished. He saw the various men in charge and heard their reports. He notified the subcontractors to finish before the next meeting of the trustees. By September 6, 1918, all the work required by the plans and specifications was completed in accord[262]*262ance therewith, except some windows that had been broken, some leaks that had been found remaining to be attended to, and some minor repairs which were needed. The architect received a report on the condition of the work from his assistant, in which the latter recommended that the building be accepted. An estimate for final payment under the contract with Long was made by the assistant, dated September 6, 1918, which was certified to by the assistant who signed for and with the knowledge of the architect. On the same day the trustees of the Public Library met, and “Voted that on the advice of the Assistant Corporation Counsel and in accordance with the recommendation of the architect the building be accepted with the reservation of a sum amply sufficient to provide for the completion of all unfinished items to the satisfaction of the Librarian.”

The master specifically finds “There was testimony intended to show that the building was practically complete at a date long before September 6, 1918.” He further finds, in relation 'to the question raised as to the date of the actual completion of the contract, that on November 4 and 5 a change was made from the chains to cables which had been put in prior to September 6,1918, in connection with the doors of the book lifts and which had not worked to the satisfaction of the architect. Either chains or cables would have met the requirements of the contract and specifications, but the architect preferred cables and permitted chains to be installed originally because it was then impossible to procure cables. The architect notified the contractor’s foreman to put in cables when he could get them. No addition or deduction was made on account of the change as the cost was included in the charge that was made when the chains were installed.

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Cite This Page — Counsel Stack

Bluebook (online)
130 N.E. 265, 238 Mass. 257, 1921 Mass. LEXIS 962, Counsel Stack Legal Research, https://law.counselstack.com/opinion/otis-elevator-co-v-long-mass-1921.