Sanders v. Commercial Casualty Insurance

485 S.E.2d 264, 226 Ga. App. 119, 97 Fulton County D. Rep. 1750, 1997 Ga. App. LEXIS 531
CourtCourt of Appeals of Georgia
DecidedApril 8, 1997
DocketA97A0301
StatusPublished
Cited by16 cases

This text of 485 S.E.2d 264 (Sanders v. Commercial Casualty Insurance) is published on Counsel Stack Legal Research, covering Court of Appeals of Georgia primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Sanders v. Commercial Casualty Insurance, 485 S.E.2d 264, 226 Ga. App. 119, 97 Fulton County D. Rep. 1750, 1997 Ga. App. LEXIS 531 (Ga. Ct. App. 1997).

Opinion

Smith, Judge.

John Sanders, d/b/a Sanders Service Company, brought suit against Commercial Casualty Insurance Company to recover on a payment bond issued to JaTech and Associates, Inc., the general contractor on a sidewalk construction project for the City of East Point. Sanders alleged that he entered into a contract with JaTech to perform concrete work on the project and that he had not been paid in accordance with the terms of that contract. Commercial Casualty answered, denying the existence of a contract and alleging that Sanders had been paid in full. The case was tried to a jury. 1 After Sanders rested his case, Commercial Casualty moved for a directed verdict, which was granted. Judgment was entered in favor of Commercial Casualty, and Sanders appeals following the denial of his motion for new trial.

1. Sanders contends the trial court erred in directing a verdict against him on the basis that he failed to prove all elements of the contract sued upon. We agree and reverse.

Sanders testified that he entered into a written contract with M & R Company & Associates, a subcontractor on the sidewalk project, to perform certain specified work for $9,000. Sanders testified that M & R was “fired” by the general contractor, JaTech, and that he left the work site as well, believing that because he was M & R’s subcontractor, he would not be allowed to work. He testified that the next day, JaTech’s principal, Jimson Akinpelu, called him at home and asked him to finish the job. According to Sanders, Akinpelu told him “don’t worry about [a] contract”; he told him just to submit bills for his truck and labor and “he would take care of it.” Sanders worked on the project intermittently for several months and completed the *120 work. He performed the work listed in his original subcontract with M & R plus additional work. He submitted the payroll and equipment records regularly, as requested by Akinpelu. His complaint as amended claimed he was entitled to payment in the amount of $69,340 for work performed, plus interest, determined by adding all the bills he submitted to JaTech for payroll and equipment. He was paid only $8,000.

Sanders called Akinpelu during his case-in-chief for purposes of cross-examination. Akinpelu’s testimony differed from that of Sanders. He testified that when JaTech informed M & R it was dissatisfied with the work of another subcontractor M & R had procured to do this particular work, M & R proffered Sanders as a subcontractor to complete the work. He also testified, however, that M & R brought Sanders to him and told him Sanders “would be working ... on their behalf.” Commercial Casualty argued below and contends on appeal that this constituted an “assignment” by M & R to JaTech of its contract with Sanders, so that Sanders was working for JaTech for the amount stipulated in Sanders’s written contract with M & R. Akinpelu testified that he instructed Sanders to submit payroll forms to him as the job progressed. 2

The trial court granted Commercial Casualty’s motion for directed verdict because it found that Sanders did not prove a prima facie case and that the evidence did not establish the necessary .elements of the alleged oral contract between Sanders and Commercial Casualty’s principal, JaTech.

“A contract is an agreement between two or more parties for the doing or not doing cp some specific thing.” OCGA § 13-1-1. To be enforceable, it must be set forth with “such certainty and completeness that either party may have a right of action upon it. . . . When a contract is substantially alleged, some details might be supplied under the doctrines of reasonable time or reasonable requirements. But indefiniteness in subject matter so extreme as not to present anything upon which the contract may operate in a definite manner renders the contract void.” (Citations and punctuation omitted.) Jackson v. Williams, 209 Ga. App. 640, 642 (1) (434 SE2d 98) (1993).

Sanders’s testimony set forth the elements of a contract. The contract, as alleged in Sanders’s testimony, is not so indefinite or uncertain that it is unenforceable. He testified that he agreed with JaTech, in the person of Akinpelu, that he should complete the concrete work on certain streets in the East Point sidewalk project, and that he would submit bills for his equipment and labor, which would *121 be paid by JaTech. Because such a contract is not within the Statute of Frauds, the fact that it was an oral contract did not make it unenforceable. OCGA § 13-5-30.

The law does not favor destroying contracts on the basis of uncertainty, and a contract that may originally have been indefinite may later acquire more precision and become enforceable because of the subsequent words or actions of the parties. Because the determination of whether a contract contains the requisite certainty must be made at the time enforcement is sought, an objection of indefiniteness may be obviated by performance on the part of one party and the acceptance of the performance by the other. Steinemann v. Vaughn & Co., 169 Ga. App. 573, 577 (313 SE2d 701) (1984).

Sanders may have been somewhat inarticulate in explaining the terms of the contract, and inconsistencies may have existed between his deposition testimony and his trial testimony regarding the rates he charged for his workers. These matters, however, go only to the credibility of his testimony. His demand for payment under the contract was explicit: he alleged that the agreement was that he was to be paid according to the bills he submitted. Those bills were admitted into evidence. The scope of the contract was not in dispute, and Sanders’s work was accepted. This was sufficient to establish a prima facie case.

Of course, Sanders’s testimony was in conflict with that of Akinpelu. But here, as in Steinemann, that conflict does not reveal a problem with uncertainty or failure to establish a contract; but instead, it presents material issues of fact that required resolution by the jury. When a motion for directed verdict is made, the issue to be determined is whether the evidence introduced, with all reasonable inferences from that evidence, demands a verdict for the movant. A directed verdict may be granted only when, without weighing the evidence, only one reasonable conclusion emerges as to the proper judgment. When the evidence is in conflict, or when insufficient evidence is presented to demand a judgment for the movant, a directed verdict is improper. Jackson, supra at 642 (1). A jury must resolve the issues of whether a separate contract existed between Sanders and JaTech or whether instead M & R assigned its contract with Sanders to JaTech so that Sanders was performing on that contract. The trial court erred in granting a directed verdict in favor of Commercial Casualty.

2.

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Cite This Page — Counsel Stack

Bluebook (online)
485 S.E.2d 264, 226 Ga. App. 119, 97 Fulton County D. Rep. 1750, 1997 Ga. App. LEXIS 531, Counsel Stack Legal Research, https://law.counselstack.com/opinion/sanders-v-commercial-casualty-insurance-gactapp-1997.