Seneca Valley, Inc. v. Village of Caldwell

808 N.E.2d 422, 156 Ohio App. 3d 628, 2004 Ohio 1730
CourtOhio Court of Appeals
DecidedMarch 30, 2004
DocketNo. 304.
StatusPublished
Cited by9 cases

This text of 808 N.E.2d 422 (Seneca Valley, Inc. v. Village of Caldwell) is published on Counsel Stack Legal Research, covering Ohio Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Seneca Valley, Inc. v. Village of Caldwell, 808 N.E.2d 422, 156 Ohio App. 3d 628, 2004 Ohio 1730 (Ohio Ct. App. 2004).

Opinion

Waite, Presiding Judge.

{¶ 1} This appeal arises from the Noble County Common Pleas Court’s decision to grant appellee, village of Caldwell (“Village”) summary judgment in a contract dispute filed against the Village by appellant, Seneca Valley, Inc. Appellant alleged that the Village failed to pay for certain work performed under a construction contract and that this amounted to a breach of contract or, in the alternative, that the Village was unjustly enriched by appellant’s services. For the following reasons, we affirm the judgment of the trial court.

{¶ 2} The contract at issue here was entered into on July 25, 2000. The Village accepted appellant’s bid for the excavation and installation of a waterline referred to as the Sharon Waterline (“the Project”) located in Caldwell, Ohio. The Village purchased the Project from Pure Water Company (“Pure Water”).

{¶ 3} The factual history leading to this dispute arose as follows: Originally, Pure Water intended to run this waterline Project. Jeffery Dean (“Dean”), an engineer, created the original plans and specifications for the Project on behalf of Pure Water. Dean’s contract with Pure Water ended after he created the plans and specifications. Pure Water intended to recontract with Dean to complete the Project after its approval by the county commissioners. The original plans depicted the waterline off to the side of County Road 60.

{¶ 4} Robert McElfresh (“McElfresh”), the president of Pure Water, presented the Project plans to Noble County Engineer John Foreman (“Foreman”) in the year 2000. Foreman became involved in the Project because Pure Water needed approval to move the waterline into the roadway right-of-way, as opposed to the original plan, which was to have the Project built entirely off to the side of the road and on private property via easements.

{¶ 5} McElfresh had advised Foreman that one private property owner “did not want it [the Project] off the road right-of-way.” Therefore, it was decided that if the Project was to be built, it had to be in the County Road 60’s right-of-way only. Thus, in order to install the waterline, a portion of the roadway must be excavated. Dean was not aware of the right-of-way problem when he created the original plan and specifications.

{¶ 6} The Project plans, entitled 1996 Water Line Extension, contain aerial photographs of the Project area and illustrate the Project. The plans are also referred to as the Project blueprints or drawings. The black lines drawn on the exhibit were not on the original plans. McElfresh added the black lines to depict *631 the waterline’s location in the roadway, since Pure Water was unable to secure the requisite easement to move it off to the side.

{¶ 7} On page one of the plans, McElfresh hand wrote: “NOTE: Some of the Water Line on C.R. 60 was moved off private property into the Roadway, due to the lack of Right of way.” This note and the repositioned waterline shown by the additional black lines were on each set of plans.

{¶ 8} Thereafter, Foreman recommended the Project’s approval to the County Commissioners in June 2000, once he confirmed that the plans corresponded with his discussions with McElfresh relative to the repositioning of the waterline.

{¶ 9} The Village subsequently purchased and took over the Project from Pure Water after McElfresh’s modifications to the plans and after the plans were distributed to the bidding contractors. The Village apparently needed access to additional water.

{¶ 10} Thereafter, Pure Water provided the Village with all of the specifications, and it handed over all of the bids the day they were received. The Village hired Dean as its engineer for the Project.

{¶ 11} Stephen Hanson (“Hanson”), CEO of Seneca Valley, received the plans and specifications with the waterline clearly depicted in the roadway. The Project specified ten cubic yards of granular aggregate and ten square yards of asphalt for pavement restoration. Hanson contacted Dean before bidding relative to these amounts of materials. Dean advised Hanson to the effect that the contract would be taken care of via unit prices and that he should not be concerned. Subsequently, Dean sent the potential bidders a facsimile, which provided:

{¶ 12} “C. Road Crossing:

{¶ 13} “The road crossing is an open cut as indicated on the plans. Bid prices for the granular and asphalt replacement will be used to pay for this work. Quantities on the bid sheets are estimates. Bid prices for all items will be carefully evaluated.”

{¶ 14} Hanson explained at his deposition that this facsimile, item C., referred to an area where the waterline crossed County Road 13. He also stated that the estimated quantities in question, based both on Hanson’s conversation with Dean and item C., referred to the Project as a whole.

{¶ 15} Seneca Valley submitted the lowest bid and was awarded the Project contract on July 25, 2000. Thereafter, a preconstruction conference was held. Foreman, Village Mayor Allen Matthews, Dean, Hanson, and the highway superintendent, among others, were in attendance. Also attending was Stanley Michel (“Michel”), a Village water department employee, who was assigned by *632 the Village to the Project. Michel was the water department’s “observer” for this Project.

{¶ 16} As the observer, Michel kept a daily log of the materials used by the contractor and generally confirmed that the job was done to the Village’s satisfaction. He observed this Project from beginning to end. Michel testified that appellant “laid everything according to the specs.”

{¶ 17} Certain changes to the contract took place where appellant submitted and had approved written change orders to the contract. Problems arose, however, over the provision involving fill and asphalt replacement.

{¶ 18} Hanson testified that his company placed approximately 1,380 cubic yards of granular aggregate and replaced 1,422 square yards of pavement at the Project site, allegedly pursuant to the original project specifications. A written change order was not issued for the placement of these materials.

{¶ 19} Because earlier change .orders had been submitted and approved as to other issues, Hanson was fully aware that a change order signed by the mayor was required prior to a change in the Project. However, he stated that he understood the granular aggregate and pavement restoration were to be paid for solely by utilizing unit prices specified in the bid.

{¶ 20} When appellant submitted its partial pay estimate number one, the estimate indicated that appellant had installed eight cubic yards of granular backfill material. Partial pay estimate number one covered only “a couple days’ work.” The “quantity unit” for granular material was listed as ten. Hanson testified that eight cubic yards was the amount required for a residential driveway.

{¶ 21} The dispute herein apparently came to light when Appellant submitted its partial pay estimate number two. It indicated that 1,351 cubic yards of granular material and 1,422 square yards of pavement restoration had been completed.

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Bluebook (online)
808 N.E.2d 422, 156 Ohio App. 3d 628, 2004 Ohio 1730, Counsel Stack Legal Research, https://law.counselstack.com/opinion/seneca-valley-inc-v-village-of-caldwell-ohioctapp-2004.