Union Oil Co. v. Turner

207 P.2d 733, 34 Wash. 2d 25, 1949 Wash. LEXIS 499
CourtWashington Supreme Court
DecidedJune 30, 1949
DocketNo. 30914.
StatusPublished
Cited by1 cases

This text of 207 P.2d 733 (Union Oil Co. v. Turner) is published on Counsel Stack Legal Research, covering Washington Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Union Oil Co. v. Turner, 207 P.2d 733, 34 Wash. 2d 25, 1949 Wash. LEXIS 499 (Wash. 1949).

Opinion

Jeffers, C. J.

This action was instituted by Union Oil Company of California, a corporation, against Paul Turner, Walter Berndt, Yakima county, a municipal corporation, and United States Fidelity and Guaranty Company, a Maryland corporation, in the superior court for Yakima county, to recover the sum of $1,129.49, alleged to be the reasonable and agreed value of goods, wares, and merchandise furnished to defendant Paul Turner.

*26 The basis for plaintiff’s claim, as shown by the allegations of its complaint, is that defendant Walter Berndt, being a successful bidder, was awarded a contract with Yakima county for furnishing labor and material for a road surfacing job known as county road project No. 129. It is alleged in the complaint that between July 13, 1946, and November 1, 1946, plaintiff, at the solicitation and request of defendant Berndt, acting through his agent, defendant Paul Turner, furnished the goods hereinbefore referred to.

A contract between defendant Walter Berndt and Yakima county was duly entered into on June 28, 1946, for furnishing the material and doing the work necessary to be done under such contract. Defendant Berndt duly filed a performance bond, upon which defendant United States Fidelity and Guaranty Company was surety.

It is further alleged in the complaint that defendant Yakima county retained a sum equal to fifteen per cent of the amount earned by Walter Berndt in the performance of the road job, or $4,234.80; that plaintiff, within a period of thirty days following the final acceptance of the work under the road contract, duly filed its claim of lien against this reserve fund.

Plaintiff asked for judgment against the above named defendants, and each of them, in the sum of $1,129.49, together with interest thereon from January 1, 1947, until paid, the sum of two hundred fifty dollars attorney’s fee, and its costs and disbursements. It further prayed that such judgment be decreed to be a first lien upon the trust fund retained by defendant Yakima county, and that the lien be foreclosed and a decree entered directing Yakima county to pay plaintiff the amount of the judgment, together with interest, attorney’s fees, and costs.

Yakima county answered the complaint, admitting that it entered into a contract with Walter Berndt, as alleged in the complaint, and that the work was completed by Berndt on or about May 5, 1947, and accepted by the county commissioners of Yakima county on May 9, 1947. It admitted that it has retained from the amount due Berndt the sum of *27 $4,234.80, and admitted that a notice of lien has been filed by plaintiff in the office of the county auditor of Yakima county.

Defendants Walter Berndt and United States Fidelity and Guaranty Company answered the complaint, and by their answer denied all of the allegations of the complaint, except the allegation relative to Walter Berndt having entered into a contract with Yakima county, as alleged in the complaint, and that Yakima county is a municipal corporation.

The matter thereafter came on for hearing before the court on April 23,1948, and after testimony taken, the court made and entered findings of fact, conclusions of law, and judgment favorable to plaintiff. By the judgment entered, it was decreed that plaintiff have and recover judgment from the defendants as follows: From defendant Paul Turner the sum of $1,129.49; from defendant Walter Berndt the sum of $1,153.73; from defendant United States Fidelity and Guaranty Company the sum of $1,153.73; and from defendant Yakima county the sum of $1,153.73, which sum the county auditor was directed to pay plaintiff from the retained percentage on the Walter Berndt road project No. 129. The judgment further provided that plaintiff was entitled to recover from defendants Turner, Berndt, and the Guaranty Co. for its costs and disbursements taxed at $42.70.

No appeal from this judgment was taken by either Turner or Yakima county. Walter Berndt and United States Fidelity and Guaranty Company have appealed from the judgment entered.

While there are some five assignments of error made by appellants, we are of the opinion that, based upon admissions made by counsel for appellants at the time of their argument before this court and the briefs submitted, the principal and controlling question to be decided is whether or not defendant Paul Turner was a subcontractor and agent of Walter Berndt. It was admitted by counsel for appellants that if the court should find he was a subcontractor, then respondent Union Oil Company is entitled to recover as *28 claimed in its complaint. In other words, appellants made no contention before this court that the supplies furnished by respondent to Paul Turner were not so furnished for the purpose of enabling him to crush rock which went upon county road project No. 129. It is admitted also that respondent filed its claim of lien against the reserve fund within thirty days following the final acceptance of the work by the county.

Appellants’ contention is that Turner was a mere mate-rialman, and that one who furnishes material and supplies to a mere materialman is not protected by the lien statutes; that the bond executed by Berndt with his surety was a statutory bond, and imposed a liability no greater than the liability of the contractor; and that therefore respondent Union Oil Company has no right of action against appellant Berndt or his surety, United States Fidelity and Guaranty Company, or the reserve fund. To sustain their contentions, appellants cite Baker v. Yakima Valley Canal Co., 77 Wash. 70, 137 Pac. 342; Neary v. Puget Sound Engineering Co., 114 Wash. 1, 194 Pac. 830; and Northwest Roads Co. v. Clyde Equipment Co., 79 F. (2d) 771.

We are of the opinion that there is no real dispute relative to the facts necessary to a decision of the controlling question raised in this case.

The trial court made and entered a very comprehensive memorandum opinion, which is a part of the statement of facts, and we quote from that opinion:

“On June 28, 1946 the defendant Walter Berndt entered into a written contract with Yakima County (Plaintiff’s Exhibit 4) to perform a certain road surfacing job on a county highway therein described.
“In accordance with the requirements of Rem. Rev. Stat. Section 1159, the said Berndt furnished a bond with the defendant United States Fidelity and Guaranty Company as surety, conditioned
“ ‘ — that if said principal shall well and truly and faithfully comply with all the terms, conditions and stipulations in said contract and specifications, and shall pay all laborers, mechanics, sub-contractors and materialmen, and all persons who shall supply such person or persons of sub-con *29 tractors with provisions and supplies for the carrying on of such work, — then this obligation to be void; otherwise to remain in full force and effect.’
“The bond also provided that the contract between Walter Berndt and Yakima County

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Bluebook (online)
207 P.2d 733, 34 Wash. 2d 25, 1949 Wash. LEXIS 499, Counsel Stack Legal Research, https://law.counselstack.com/opinion/union-oil-co-v-turner-wash-1949.