Randel v. President of Chesapeake & Delaware Canal

1 Del. 233
Superior Court of Delaware·Decided July 5, 1833·Published·Cited by 4 cases

Opinion

Chief Justice Clayton delivered the following opinion of the court.

Clayton, Ch. J.

To put the true construction on the contract between John Handel and the Chesapeake and Delaware Canal Company, it will be necessary to look through the whole instrument, to see its general nature and design, in order to discover what was the real *270 meaning and intention of the parties; and when we have gathered from it that intention, it must be the rule of our decision. No settled form of words is necessary to create a covenant. Any words in a sealed instrument by which a party manifests an intention to become bound to another to do or not to do an act, either by himself or a third person, if the act be possible, and not immoral or unlawful, will make a covenant, and the law will hold him to his undertaking, however inartificial the words may be which he has used, and covenant will lie.

(Inspection clause.) The plaintiff on his part covenants to construct and make a certain portion of the Chesapeake and Delaware Canal, and the defendants on their part covenant to pay him the stipulated prices. This is a work of great magnitude, requiring great labor, the employment of vast numbers of men, and great capital. It is an undertaking which no contractor in this country, with our limited fortunes, could hope to accomplish, relying on his own funds. Hence the necessity of the stipulation in the contract for speedy and frequent payments during the progress of the work, and hence the necessity of fixing upon some mode by which the amount of these stipulated payments should be ascertained. The very existence of the plff. as a contractor depended on the fulfilment of this part of the contract. Delay was ruin: it would necessarily in its consequences work a forfeiture of the contract. It may not be needless to remark that the plaintiff did not hold himself out to the defendants as a man capable of accomplishing the task which he had undertaken upon his own capital. The contract shows that they were aware of his inability in this respect, and they were aware of the necessity of furnishing him with money as the work proceeded. It is readily seen from this, how" important it was to the plaintiff that the defendants should agree with him to select a person who should examine and inspect the work during its progress, and estimate the number of cubic yards of excavation and embankment, and certify such estimate, upon which only could the plff. demand his semi-monthly payments for work done. It is true that the two clauses connected with this subject, and which seem naturally to belong to and form a part of each other are disjoined, having interposed between them the proviso in relation to the ten per cent, and the clause relating to the revision of prices. Connect these two clauses relating to the same matter of contract, and they read thus: “And the party of the second part (the defts.) agrees to pay the party of the first part, his executors, admrs. and assigns, for completely performing this contract, the sums which are stated as the cost thereof in the said estimate of the party of the first part, under the conditions and provisions expressed in the annexed schedule, payments to be made every fortnight according to the said schedule for the work which the engineer of the company shall certify to have been actually done by the party of the first part.” “And the said works, during their progress, shall be carefully examined and inspected; and to prevent misunderstanding and disputes it is hereby agreed that Benjamin Wright, Esquire, or some other competent engineer, to be selected by the party of the second part, shall be the inspector of the said works, and shall estimate the number of cubic yards of excavation, and also of embanlt;V *271 ment, and his estimate thereof, when certified to the party of the second part, shall be final and conclusive between the parties.”

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Randel v. President of Chesapeake & Delaware Canal, 1 Del. 233 (Del. Ct. App. 1833).

1 Del. 233 (Randel v. President of Chesapeake & Delaware Canal) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

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