Troup Brothers, Inc. v. State

135 So. 2d 755
CourtDistrict Court of Appeal of Florida
DecidedDecember 13, 1961
Docket2442
StatusPublished
Cited by11 cases

This text of 135 So. 2d 755 (Troup Brothers, Inc. v. State) 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
Troup Brothers, Inc. v. State, 135 So. 2d 755 (Fla. Ct. App. 1961).

Opinion

135 So.2d 755 (1961)

TROUP BROTHERS, INC., and Federal Insurance Company, Appellants,
v.
STATE of Florida for the Use and Benefit of MEADOWS SOUTHERN CONSTRUCTION CO., Inc., Appellee.

No. 2442.

District Court of Appeal of Florida. Second District.

December 13, 1961.

*756 Thomas S. Trantham, Jr., Mershon, Sawyer, Johnston, Simmons & Dunwody, Miami, for appellants.

Charles E. Davis, Charles L. Steinberg, Fishback, Williams, Davis & Dominick, Orlando, for appellee.

ALLEN, Acting Chief Judge.

This appeal is brought by defendants as appellants from a verdict and judgment in favor of plaintiff in a suit against defendant general contractor and defendant surety on a statutory construction completion bond under §§ 255.05 and 337.18, F.S.A., for road work performed for the state. Defendants contend that the evidence totally fails to establish any right on the part of plaintiff to recover and urge this court to reverse the lower court with directions to enter judgment in favor of defendants. They have assigned as error the lower court's refusal to grant their motions for directed verdict made at the close of the plaintiff's case and at the close of all the evidence and also their post-verdict motion for judgment notwithstanding the verdict.

It is undisputed that defendant Troup Brothers, Inc., had been the prime contractor on a state road project and that plaintiff was an unpaid lessor of digging equipment rented to one Dunlap who had used said equipment to remove marl from a marl pit. Dunlap in turn, per contract with Troup, delivered the marl to the road job site some seven or eight miles from the marl pit. The equipment lessor, Meadows Southern Construction Co., Inc., filed suit as use plaintiff in the name of the State of Florida against defendants' general contractor and surety as an unpaid materialman entitled to recover under the statutory construction completion bond. Evidence was submitted to establish three alternative theories claimed to warrant recovery. The first theory is that plaintiff was an unpaid materialman of a subcontractor, Dunlap, who defaulted in payment thereby rendering defendant general contractor liable for payment. The second theory is that, based on a purported oral agreement between plaintiff and defendant contractor, the rental equipment was, in legal effect, furnished directly to defendant by plaintiff thereby rendering defendant liable. The third theory, based on the same facts purported to raise said oral agreement, is that defendant was liable as a guarantor in the event of default in payment by Dunlap.

The evidence adduced showed an agreement between Dunlap and defendant that the former would supply marl to the latter for so much a load. It also showed that Dunlap merely made deliveries of the marl, performing no work at the job site and further, that the rental equipment consisting of a dragline and a bulldozer was located at all times material, at the marl pit and not at the job site. At the trial, Dunlap, for the first time, asserted that he was unpaid to the extent of $20,000.00 for marl delivered. This claim, however, was unsubstantiated. Defendant produced evidence that all money due Dunlap had been paid, some of it directly to other creditors of Dunlap per Dunlap's request. Plaintiff's vice president and Dunlap both testified to a collateral oral agreement made by defendant's superintendent to the effect that defendant would guarantee payment of the rental if plaintiff would continue leasing the equipment to Dunlap. Said agreement was purportedly made subsequent to the time Dunlap first started using the equipment. The existence of the oral agreement was denied by defendants' witnesses.

It was also shown that plaintiff had taken over the payments on certain trucks owned by Dunlap, picking up gratis whatever equity was in them. Defendant produced a witness who estimated this equity at $1500 to $2000 in an attempt to show payment of that amount of the rental bill claimed by plaintiff. Plaintiff's vice president testified, however, that one of the trucks had been wrecked and that the total equity acquired did not exceed $200.00. The rental claimed to be due and recovered by the verdict was $8,520.00.

*757 Outside of plaintiff's vice president, Dunlap was plaintiff's chief witness. The lower court admitted testimony by two witnesses for defendants which assassinated Dunlap's reputation for truth and veracity.

The language of § 255.05, F.S.A., pertinent to the instant case reads as follows:

"Any person entering into a formal contract with the state * * * shall be required * * * to execute the usual penal bond, with good and sufficient sureties, with the additional obligations that such contractor shall promptly make payments to all persons supplying him labor, material and supplies, used directly or indirectly by the said contractor, or subcontractors, in the prosecution of the work provided for in said contract; * * *.
"Any person supplying labor, material or supplies used directly or indirectly in the prosecution of the work to any subcontractor and who has not received payment therefor, shall * * deliver to the contractor written notice * * *." (Emphasis supplied.)

The main issue at trial was whether Dunlap occupied the status of a materialman or a subcontractor. Under the statute, if he were a materialman, general contractor defendant would not be liable to plaintiff, who would then occupy the status of supplier of a materialman and not afforded statutory protection. If, however, Dunlap be deemed a subcontractor, plaintiff would be protected by the statute. Since the evidence showed conclusively that Dunlap performed no work at the job site, we hold that he occupied the status of a materialman. Nowhere in the record is it shown that Dunlap contracted to perform or performed part of defendant contractor's contract. Such would have to have been the case for him to occupy the status of a subcontractor as that word is ordinarily defined. Thus, plaintiff is relegated to the position of materialman of a materialman which is excluded from the protection afforded by § 255.05, F.S.A., by the plain meaning of the language used therein. If the result were otherwise contractors purchasing supplies and materials incorporated in state construction projects would be subject to an endless chain of liability. For protection they would be required to secure performance bonds from every supplier dealt with. The statute is not construed as contemplating such a requirement.

Two Florida cases which point out the distinction between subcontractors and materialmen, though involving different statutes than the one with which we are here concerned, are Goldstein v. Acme Concrete Corporation, Fla. 1958, 103 So.2d 202, and Belcher v. Russell, Fla.App. 1961, 128 So.2d 623. As to Dunlap's status, we deem these cases controlling. The latter case involved a firm which had not only furnished road building ingredients but had put in place and compacted crushed rock and sand and then covered it with asphalt. Said firm was attempting to foreclose a lien under the general mechanics' lien law, Chapter 84, F.S.A. In so doing, it had failed to give the owner a sworn statement concerning the status of possible lien claimants as required of contractors by § 84.04, F.S.A., but asserted that it was a materialman and not required to make such a statement in order to foreclose a lien. The Third District Court of Appeals held otherwise pointing out in effect that the performance of work at the job site rendered the plaintiff a contractor and not a materialman.

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Bluebook (online)
135 So. 2d 755, Counsel Stack Legal Research, https://law.counselstack.com/opinion/troup-brothers-inc-v-state-fladistctapp-1961.