State Road Dept. v. Houdaille Industries, Inc.

237 So. 2d 270
CourtDistrict Court of Appeal of Florida
DecidedJuly 7, 1970
DocketM-199
StatusPublished
Cited by7 cases

This text of 237 So. 2d 270 (State Road Dept. v. Houdaille Industries, Inc.) is published on Counsel Stack Legal Research, covering District Court of Appeal of Florida primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
State Road Dept. v. Houdaille Industries, Inc., 237 So. 2d 270 (Fla. Ct. App. 1970).

Opinion

237 So.2d 270 (1970)

STATE ROAD DEPARTMENT, a Component Agency of the State of Florida, Appellant,
v.
HOUDAILLE INDUSTRIES, INC., a Michigan Corporation, Rubin Construction Company, a Tennessee Corporation, and E. & I., Inc., a Florida Corporation, Appellees.

No. M-199.

District Court of Appeal of Florida, First District.

July 7, 1970.

*271 Wicker, Smith, Pyszka, Blomqvist & Davant, Miami, for appellant.

Robert M. Ervin, Carl R. Pennington, Jr., and F. Perry Odom, of Ervin, Pennington, Varn & Jacobs, Tallahassee, for appellees.

RAWLS, Judge.

The State Road Department appeals a final judgment in favor of appellees-plaintiffs in the sums of $240,000 (on Job 3502) and $70,000 (on Job 3501) plus interest and costs.

The primary points posed by appellant on this appeal are: 1. Whether there existed an accord and satisfaction on the part of plaintiffs by reason of a change order, 2. The propriety of joining E. & I., Inc., a sub-subcontractor, as party plaintiff, 3. The sufficiency of the evidence to show a breach of contract or misrepresentation made by the Road Department, and 4. Adequacy of the evidence to support the finding of damages by the trial judge.

This cause was submitted to the trial judge sitting as a finder of fact upon a voluminous record from which the following facts are drawn. The State Road Department desired to construct across the Everglades a road to be known as the Everglades Parkway but commonly called Alligator Alley. Much of the terrain had never been subjected to topographic survey. For a period of five months the Road Department utilized four fully equipped survey crews who completed the survey work and made subsoil investigations which were used in the preparation of plans and specifications. The construction was let in a series of projects including Projects 3502 and 3501, the two involved in this controversy. The prospective contractors had less than a month for preparing estimates and pre-bid inspections prior to submitting bids as to each project. The pre-bid inspections consisted primarily of aerial views, for ground inspection was necessarily confined to those parts accessible by *272 swamp buggy. The pre-bid inspection conducted on behalf of Houdaille showed no indication of any inaccuracy in the data supplied by the Road Department with the invitation to bid.

Houdaille was the successful bidder as prime contractor on Projects 3502 and 3501, and it subcontracted a portion of the work entailing clearing, grubbing, subsoil excavation and embankment work to Rubin Construction Company with the Road Department's written approval. Rubin subsubcontracted the work to E. & I., Inc., without the required written approval of the Road Department. E. & I. had a qualification rating with the Road Department whose engineers and inspectors knew that E. & I. was doing the work and whose records reflect that E. & I. participated in work conferences.

As to Project 3502, the plans reflected only 408 cubic yards of muck to be moved and 622,968 cubic yards of embankment material to be taken from the borrow canal and put into place by the contractor. The contract for this project was let in mid-October 1964 at the end of the rainy season but before the waters had receded. The rains normally start again the last of June or first of July. The work plan was to use bulldozers to uproot vegetation which would be allowed to dry, then raked into piles and burned. It was anticipated that the inland waters would recede during the dry season as the work progressed inland and that bulldozers (which can clear 6 acres a day) could do all clearing except the strip estimated by the Road Department to contain 408 cubic yards of muck. As to the muck area, the work plan required that draglines would remove the muck, take stable soil from the borrow canal designated in the plans, place same near the roadway, and bulldozers would push the embankment material in place. Thus, it was anticipated that all embankment material would be in place before the rains started which would permit the paving of same during the rainy season because the high embankment would be above the waterline.

The Road Department's estimate of muck quantities made after it had expended some five months in pre-planning survey work was, to say the least, erroneous. After clearing and grubbing one and one-half miles, the subcontractor encountered muck in quantities astronomically in excess of those represented in the plans. Correspondence between Road Department engineers in January 1965 revealed that the muck was so soft it could not be walked on nor could track equipment work on it; that the data shown on the plans represented only the best areas; that it appeared there was no way for the survey team to have carried equipment to some stations to take soil borings, and the borings shown on the plans for such stations appear to have come from other stations; that the muck was then estimated to be some 200,000 cubic yards; and that the contractor in spite of difficult conditions had brought in a great deal of equipment and was progressing well but had not submitted a price for his additional work.

The contractor's entire method of construction operation had to be changed. Instead of using bulldozers which could clear 6 acres in a 10-hour day, draglines working on mats had to be used 24 hours a day to clear two and one-fourth acres. The Road Department inspectors refused to allow the draglines to do a dual operation, that is, to clear and remove muck at one time because the plans stated that clearing and grubbing must be accomplished before removal of subsoil. As the draglines progressed further into the muck they could not be reached by swamp buggies. Housing on the site was set up for the workers. Swamp buggies would carry them as far as possible, and they would have to wade or climb along piles of trees to get to and from the equipment. Fuel had to be floated and carried in by hand. Some workers objected to wading through snake-infested waters. Accident rates were high. Equipment was constantly bogged down. Personnel *273 turnover exceeded 500%; and the contractor finally paid bonuses to get workers to remain on the job. There is no question but that the failure of the Road Department to procure and submit to prospective contractors accurate soil borings from each station constituted a material false representation in the invitation to bid.

On March 29, 1965, a meeting was held in Tallahassee with representatives of the Road Department, the contractor, subcontractor and sub-subcontractor (E. & I.). At this meeting the plans were officially changed to require the removal of the muck; to designate the places and manner of disposal of the enormous quantities of muck; to authorize payment for stripping muck from the top of the proposed borrow canal along the roadway, payment for overhaul at 5¢ per cubic yard, and a progress payment of 55% for material excavated from the borrow canal; and to specify the source of limerock material. The Assistant Engineer of the Road Department, by memo dated March 30, 1965, directed the District Engineer to prepare a document showing the changes stated above and to include therein an estimate of anticipated units for overhaul, increased excavation and increased embankment material. The document as prepared reflected contract unit prices and was signed by a representative of the contractor but was neither executed nor processed by the Road Department as is required for change orders.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Lubowicki v. Oxford Resources Corp.
697 So. 2d 924 (District Court of Appeal of Florida, 1997)
Jacksonville Electric Authority v. Draper's Egg & Poultry Co.
531 So. 2d 373 (District Court of Appeal of Florida, 1988)
Navarre v. Navarre
438 So. 2d 186 (District Court of Appeal of Florida, 1983)
McDonald v. Allstate Insurance Co.
408 So. 2d 580 (District Court of Appeal of Florida, 1981)
Jacksonville Port Auth. v. Parkhill-Goodloe Co.
362 So. 2d 1009 (District Court of Appeal of Florida, 1978)
State Department of Transportation v. Leecon, Inc.
339 So. 2d 709 (District Court of Appeal of Florida, 1976)
Morton v. Rifai
339 So. 2d 707 (District Court of Appeal of Florida, 1976)

Cite This Page — Counsel Stack

Bluebook (online)
237 So. 2d 270, Counsel Stack Legal Research, https://law.counselstack.com/opinion/state-road-dept-v-houdaille-industries-inc-fladistctapp-1970.