United States ex rel. Olmsted Electric, Inc. v. Neosho Construction Co.

599 F.2d 930
CourtCourt of Appeals for the Tenth Circuit
DecidedMay 31, 1979
DocketNo. 77-1881
StatusPublished
Cited by4 cases

This text of 599 F.2d 930 (United States ex rel. Olmsted Electric, Inc. v. Neosho Construction Co.) is published on Counsel Stack Legal Research, covering Court of Appeals for the Tenth Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
United States ex rel. Olmsted Electric, Inc. v. Neosho Construction Co., 599 F.2d 930 (10th Cir. 1979).

Opinions

McWILLIAMS, Circuit Judge.

This is a Miller Act case and the issue is whether the supplier gave timely notice to a general contractor of its claim against a subcontractor. The supplier brought suit against the general contractor and its surety under the provisions of the Miller Act for materials which it had furnished a subcontractor and for which payment had not been received. Both the supplier and the general contractor moved for summary judgment.

[931]*931It was the general contractor’s position that, under the undisputed facts, the supplier’s action was barred because of the failure of the supplier to give timely notice as required by 40 U.S.C. § 270b(a). It was the supplier’s position that it had given the general contractor the notice required by that statute. The trial court granted the supplier’s motion for summary judgment and denied the motion of the general contractor. Judgment was then entered in favor of the supplier and against the general contractor and its surety in a stipulated amount. The general contractor and its surety seek reversal of that judgment.

Neosho Construction Company entered into a contract with the Corps of Engineers whereby Neosho, as the general contractor, agreed to construct certain projects at Mel-vern Lake, in Kansas. Neosho, as the principal, and Travelers Indemnity Company, as surety, executed a payment bond to the United States.

Neosho entered into a subcontract with Donald Eugene Masten whereby Masten agreed to perform certain electrical work on the Melvern project. Masten, in turn, over a considerable length of time, purchased electrical supplies for the project from Olmsted Electric, Inc. Specifically, Olmsted’s first sale of materials to Masten for use on the Melvern job was on September 24,1973. Periodic purchases were made and periodic payments were made from September, 1973, until September, 1974, so that, as of September, 1974, Masten’s account with Olmsted was current. However, between August 30, 1974, and April 18,1975, Olmsted made some fourteen sales to Masten of electrical supplies which were used on the Melvern Lake project, and for which Olmsted did not receive payment.

Sometime in June, 1975, Masten ordered a “fuse disconnect” from Olmsted which was to be used on the Melvern project. Olmsted in turn placed an order for a fuse disconnect from its manufacturer. It would appear that Masten was experiencing severe financial problems and that at about this point in time apparently ceased working on the Melvern Lake project. Masten later took bankruptcy. Be all that as it may, on July 21,1975, one Ron Montieth, an employee of Neosho, in a telephone conversation with Lee Olmsted, President of Olmsted Electric, Inc., verified that the fuse disconnect had in fact been ordered by Mas-ten, and inquired about the possible delivery date for the disconnect.

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

Related

Cite This Page — Counsel Stack

Bluebook (online)
599 F.2d 930, Counsel Stack Legal Research, https://law.counselstack.com/opinion/united-states-ex-rel-olmsted-electric-inc-v-neosho-construction-co-ca10-1979.