R. H. Fulton and United States Fidelity and Guaranty Company v. Coppco, Inc.

407 F.2d 611, 1969 U.S. App. LEXIS 13318
CourtCourt of Appeals for the Tenth Circuit
DecidedMarch 11, 1969
Docket10152
StatusPublished
Cited by17 cases

This text of 407 F.2d 611 (R. H. Fulton and United States Fidelity and Guaranty Company v. Coppco, Inc.) is published on Counsel Stack Legal Research, covering Court of Appeals for the Tenth Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
R. H. Fulton and United States Fidelity and Guaranty Company v. Coppco, Inc., 407 F.2d 611, 1969 U.S. App. LEXIS 13318 (10th Cir. 1969).

Opinion

SETH, Circuit Judge.

The appellee, Coppco, Inc., commenced this action against R. H. Fulton and the United States Fidelity and Guaranty Company, seeking to recover the balance it claimed was due it as the supplier of concrete water pipe for a steel and concrete waterline constructed by Fulton as the prime contractor. Coppeo’s contract was to furnish the pipe to Kaiser Steel Corporation which in turn held a contract from Fulton to furnish to him both steel and concrete pipe. The trial court entered judgment for Coppco against both defendants. The defendants have taken this appeal urging two principal grounds for reversal, the first ground being the failure of the trial court to grant a trial continuance, and the second ground the conclusion of the trial court as to the applicability of two Colorado statutory provisions relating to the nature of the bond required for municipal construction contracts.

In 1965 the appellant Fulton contracted with the City of Colorado Springs to construct a steel and concrete pipeline, and a construction bond was given to the City with Fulton as principal and the United States Fidelity and Guaranty Company as surety. ' Fulton in turn executed a contract with the Kaiser Steel Corporation whereby Kaiser agreed to supply Fulton with both steel and concrete pipe for the project. Kaiser intended to manufacture the steel pipe itself, but executed a contract with Coppco whereby it agreed to furnish Kaiser the concrete pipe.

Fulton experienced various difficulties in laying and welding the steel pipe, and after the installation of the concrete pipe, it was discovered that some of it had deflected. The City required Fulton to have made the necessary repairs and replacements.

Fulton withheld $475,000.00 of the contract price payable to Kaiser on the ground that the steel and concrete pipe supplied did not conform to specifications. Kaiser in turn refused to pay Coppco the amount remaining to be paid under the Coppco-Kaiser contract for the concrete pipe. The controversy could not be settled, and a series of lawsuits was commenced. Kaiser first sued Fulton, United States Fidelity and Guaranty Company, and the City of Colorado Springs in the District Court of Colorado in 1966. The following day Fulton sued Kaiser in the Texas District Court, alleging a breach of warranty and contract by Kaiser in regard to both the concrete and the steel pipe. In January 1967, Coppco filed this suit in the District of Colorado against Fulton, Kaiser, and United States Fidelity and Guaranty Company, seeking judgment of approximately $142,000.00 which was the balance due it for the concrete pipe and compensation for the additional labor and materials supplied for the repair of some of the concrete pipe sections of the line.

Appellant Fulton’s first contention on this appeal is that his motion for continuance should have been granted by the trial court because he was unable to complete the necessary discovery in order to prepare his defense that the concrete pipe supplied by Coppco was defective.

All concerned acknowledge that motions for continuance are addressed to the sound discretion of the trial court. Ziegler v. Akin, 261 F.2d 88 (10th Cir. 1958); King v. United Benefit Fire Ins. Co., 377 F.2d 728 (10th Cir.1967). Thus the issue on this appeal is whether the trial court abused its discretion in refusing to grant Fulton’s motion for a continuance. In reviewing the record, the following are some of the significant events: Fulton sued Kaiser in Texas in September 1966, and the issues raised in that case were identical to the issues in the present suit. On May 23, 1967, at the first pretrial conference in this case, it was made clear that the condition of the concrete pipe supplied by appellee was at issue as was the condition of the steel pipe. At the second pretrial conference on September 29, 1967, it continued *613 to be clear to the parties that the condition of the concrete pipe was still at issue. However, Fulton asserts that he planned to obtain depositions regarding the condition of the steel pipe first, and then, subsequent to this, was going to obtain depositions concerning the concrete pipe inasmuch as the two issues were related.

On January 5, 1968, the trial court held a hearing on Fulton’s motion for a continuance, the case having been set for trial. The deadline set in the second pretrial order (pretrial of September 29, 1967) for completion of depositions was December 30, 1967. The attorney for Fulton was asked at this pretrial by the court whether the December 30, 1967, date would allow sufficient time for discovery on all issues — “everything,” and they replied they would try to complete discovery on both' issues within that time. The case would then have been filed for nearly a year. It was apparent that the case had been proceeding with both the concrete and steel pipe issues. At the hearing on the motion for trial continuance the attorneys for appellee stated that they understood that the second pretrial order had severed the concrete pipe issue from the steel pipe issue. The trial court upon examination of the issues listed in the order agreed, and thus held that the concrete pipe issue was to be tried first. Fulton urges that he was not aware of the severance, and that it somehow prejudiced him but, other than some subjective planning, this could have done little more than remove one issue, and an issue relating to Kaiser and not to Coppco. If Fulton had been proceeding diligently this could have made little difference.

Fulton had in September 1967 taken some- depositions concerning the steel pipe issue, but had experienced a long, delay in receiving the transcripts. Fulton in his brief states that “their inability to complete discovery was due solely to the procrastination of a shorthand reporter in transcribing the depositions of September 14.” It is difficult to see how this “procrastination” as to the issue relating to the Kaiser-made steel pipe should have been permitted to delay the discovery and the delay of trial on the Coppeo-made concrete pipe. Fulton apparently wanted to complete the steel pipe discovery first, but it was obvious that both issues were present and time was running out.

At the hearing on the motion for continuance Fulton’s attorneys announced that they had not given the names of his witnesses to opposing counsel as required by the pretrial order; the court gave an additional five days to comply with the order and extended the time for discovery and the taking of depositions for an additional twenty days. It appears that the appellant Fulton had obtained no depositions relating to the concrete pipe between the time of the first pretrial conference in May and the time of this appearance on January 5, nor had made any attempt to do so.

Appellants contend that Sutherland Paper Co. v. Grant Paper Box Co., 183 F.2d 926 (3d Cir.), should be applied.

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Bluebook (online)
407 F.2d 611, 1969 U.S. App. LEXIS 13318, Counsel Stack Legal Research, https://law.counselstack.com/opinion/r-h-fulton-and-united-states-fidelity-and-guaranty-company-v-coppco-ca10-1969.