Ryan Co. v. Sanitary District

47 N.E.2d 576, 317 Ill. App. 549, 1943 Ill. App. LEXIS 988
CourtAppellate Court of Illinois
DecidedFebruary 8, 1943
DocketGen. No. 41,629
StatusPublished
Cited by5 cases

This text of 47 N.E.2d 576 (Ryan Co. v. Sanitary District) is published on Counsel Stack Legal Research, covering Appellate Court of Illinois primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Ryan Co. v. Sanitary District, 47 N.E.2d 576, 317 Ill. App. 549, 1943 Ill. App. LEXIS 988 (Ill. Ct. App. 1943).

Opinion

Mr. Justice Scanlan

delivered the opinion of the court.

Assumpsit action tried by the court without a jury. On June 28, 1940, at the close of plaintiff’s case, a judgment for defendant was entered upon all of plaintiff’s claims but one. At the close of all of the evidence a second judgment was entered, on December 10, 1940, in favor of defendant as to the remaining claim.

The complaint contained five counts; also an additional count which was an amplification of count II. The claims under count III were settled prior to the trial and that count was dismissed in the first judgment order. That judgment order also determined plaintiff’s claims under counts I, II, IV and additional count. The second judgment determined plaintiff’s claim under count V. Plaintiff appeals from the two judgments.

No point is made as to the pleadings. On November 26, 1930, plaintiff, The Ryan Company, a corporation, entered into a contract with defendant, The Sanitary District of Chicago, to construct a sewer in Blue Island avenue and in 22d street, of approximately 3,810 lineal feet 17 feet internal width in earth, 6,250 lineal feet 17 feet internal width in full or partial rock, and 1,180 lineal feet 8 feet 6 inches internal width. On February 23, 1931, the preliminary work, such as the shaft, drift tunnel, etc., was done and work was begun on the main sewer. The work proceeded in two directions, east and west, and progressed in both headings until April 13, 1931, when a fire occurred in the tunnel which stopped work for some time. At the time of the fire 595 feet of the sewer had been built; 266 feet in the east heading and 329 feet in the west heading. Before the fire the wood cant method had been used, i.e., the sheeting, bracing and supports were all timber; no steel nor fireproof material was used. Eleven lives were lost and several persons were injured by reason of the fire. In an inquisition held by the coroner there was a verdict in which certain recommendations were made with respect to changes that should be made and precautions that should be taken to safeguard the lives of persons engaged in the construction of all tunnels in Cook county. Because of such recommendations plaintiff and defendant entered into a supplemental contract, sometimes called “fire contract,” on April 30, 1931. The first count of the complaint is based on claims for compensation under that contract, in which plaintiff agrees, among other things not in controversy, to perform the following: “Item One-A, all shafts, slopes and tunnels shall be lined with fireproof material.” Item Nine-A provides that plaintiff shall also perform other work considered advisable by the Engineer for protection from fire, and wherever such work is not contemplated in the original contract, plaintiff would be paid therefor in the manner specified in the fire contract. In paragraph 2 of the “fire contract” defendant agrees to furnish plans and specifications and when they are approved by defendant’s Chief Engineer the work shall be performed in accordance therewith and under the supervision and to the satisfaction of the Chief Engineer and his duly accredited representatives. In paragraph 4 defendant agrees to pay plaintiff the cost of performing said work on what is known as the “force account” basis, which is set forth in Articles 7 and 8 of the original contract, provided, that before plaintiff incurred any expense under this fire agreement, it will first submit to the Chief Engineer, the price it proposed to pay for materials, supplies, equipment and the number and wages of its employees. Before it began work plaintiff complied with this requirement. Articles 7 and 8 of the original contract contain several provisions, one in the latter part of Article 7 being as follows: “. . . if the extra work done under this contract is of such a nature being distinct from other work being done by said Contractor, that the Engineer can determine the actual cost of the same, then the said Contractor shall receive and the Sanitary District shall pay, in full satisfaction for the same, the actual cost of the work as determined by the Engineer with fifteen per cent added thereto to cover superintendence and use of ordinary tools and for profit.” After plaintiff submitted to the Chief Engineer the prices it proposed to pay for materials, etc., he approved the same and work was started. The shaft was lined with steel. When it came to the work in the tunnel there was considerable discussion as to what the nature of the fire proof material that was to take the place of the timber bracing should be, and it was decided that they should experiment with steel liner plates and ribs. Accordingly, plaintiff ordered a small quantity of plates and ribs and on May 29, 1931, sent a copy of the order to defendant. On June 1, 1931, defendant sent a letter to plaintiff acknowledging receipt of the order and advising plaintiff that the quantities ordered were satisfactory and in line with the decision reached at a conference held in the Chief Engineer’s office. The letter then states that it was the understanding that the entire job was in the nature of an experiment to determine the advisability of using steel instead of timber bracing and, therefore, it was not understood that the price stated in the order was agreed upon" but the reasonable cost would be determined upon later, taking into account the labor of placing and the progress made, and deducting therefrom the saving due to the timber not used. On July 16, 1931, defendant authorized plaintiff to furnish plates, etc., for 320 lineal feet of tunnel, and on July 28, 1931, authorized the same for another 320 feet. In both these letters it was stated that1 ‘ The price to be paid for the material furnished shall be determined upon at a later date.” On August 13, 1931, defendant wrote plaintiff the following letter, sometimes referred to as “File No. 77”:

‘ ‘ Payment
“To be made under the extra work clause of the contract, with 5% added instead of 15% as specified in the contract. Payments to be made under this order shall not exceed $100,000.00.
“Work to be done and remarks:
“You are hereby authorized to furnish, deliver and place in all tunnel work, all steel plates, and ribs, with accompanying splice plates, shoes, bolts and nuts, necessary to complete the work under your contract. For the steel plates, ribs, splice plates, shoes, bolts and nuts, you are to receive a price of $0,048 (four and eight-tenths cents) per lb. delivered at the site of the work. [Plaintiff paid .048 cents per pound for the steel plates, etc.] The actual weight of steel for which you are to receive payment shall be the computed weights as determined by the Engineer in charge of the work. From this price per lb. a deduction of 32% shall be made, the percentage consisting of the following parts: — 4% for elimination of needle beam, 8% for saving in excavation and 20% for elimination of the wooden cants. This price shall also apply to all steel plates, ribs, splice plates, shoes, bolts and nuts authorized to date and delivered to the site of the work. You are further authorized to make the necessary arrangements for furnishing and delivering the steel plates, ribs, etc., necessary to complete the tunnel work. The amount, size and details of material to be furnished and delivered shall be determined upon only after discussion and agreement with the engineer in charge of the work.

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Bluebook (online)
47 N.E.2d 576, 317 Ill. App. 549, 1943 Ill. App. LEXIS 988, Counsel Stack Legal Research, https://law.counselstack.com/opinion/ryan-co-v-sanitary-district-illappct-1943.