Vance v. Arnold

201 P.2d 475, 114 Utah 463, 1949 Utah LEXIS 187
CourtUtah Supreme Court
DecidedJanuary 11, 1949
DocketNo. 7058.
StatusPublished
Cited by2 cases

This text of 201 P.2d 475 (Vance v. Arnold) is published on Counsel Stack Legal Research, covering Utah Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Vance v. Arnold, 201 P.2d 475, 114 Utah 463, 1949 Utah LEXIS 187 (Utah 1949).

Opinions

LATIMER, Justice.

In detailing the facts of this controversy, we do not intend to convey the impression that all were uncontroverted. Very few are important to this decision and in those instances where they were disputed, we have adopted the findings of the trial judge. All of his findings are supported by substantial evidence.

On the 6th day of November, 1944, defendants entered into a contract with the United States of America for the construction of an automatic sprinkler system in certain warehouse buildings at the Utah Army Service Depot near Ogden, Utah. Defendants’ contract price was arrived at, in part, by a compilation of bids submitted by subcontractors. Plaintiffs were electrical contractors doing business in Salt Lake City, Utah, and submitted a bid for the electrical installation. Prior to submitting their bid, plaintiffs had received copies of the plans and specifications for the installation and after computing the costs and expenses involved in the electrical work, they submitted a bid to defendants wherein they agreed to do the electrical work for the sum of $14,600.

Upon being awarded the job by the government, defendants discussed the electrical subcontract bid with plaintiffs and notified them that they, defendants, had received bids for considerably less than the $14,500 bid by plaintiffs. Based on this information, plaintiffs apparently reduced their bid to the sum of $10,000 and subsequently met with defendants to further discuss the details of the job. At the time the electrical subcontract was computed, plaintiffs *465 were uncertain as to whether or not the low pressure alarm system was to be installed as part of the electrical work. This matter, however, was the subject of a later discussion with the defendants.

On or about the 15th day of November, 1944, plaintiff, Kimball Vance, and his estimator met with the defendants and discussed the extent of the electrical work included in plaintiffs’ bid. When the defendants were informed of plaintiffs’ uncertainty in connection with the installation of the low pressure alarm system and were further informed by the plaintiffs that the revised bid of $10,000 did not include this low pressure alarm system, defendants refused to award plaintiffs the subcontract for the electrical work. Plaintiff Kimball Vance then discussed the matter further with his estimator and notified the defendants he would accept the subcontract, including the installation of the low pressure alarm system if required by the government, for the increased sum of $10,700. After receiving this assurance, defendants then executed a purchase order for the subcontract in the following words and figures:

“We are awarding you the Sub-Contract for furnishing all material and labor required for the Electrical work under the plans and specifications of Contract 2-04-167-Eng-688 in amount of Ten Thousand Seven Hundred Dollars, (10,700.00). Parties to this agreement understand fully the following conditions:
“1. Viking-Eichholz are to furnish in place the Five Horse Power Motors to operate the Air Compressor units. Vance Electric Service are to furnish the labor and materials for all wiring and controls for the Air Compressors and Motors.
“2. All work and material is to be subject to the inspection and approval of the Engineer in Charge of Construction and (or) his representative.
“8. Final payment will be made after receipt of approval in writing from the Engineer in Charge of Construction.
“We extend for your use for execution of this Sub-Contract the following. The material has a value of $6895.00.
“Preference Eating AA-3
“Allotment No. or Symbol W-6
“The undersigned purchaser certifies, subject to the penalties of section 35 (a) of the United States Criminal Code, to the seller and to *466 the War Production Board, that, to the best of his knowledge and belief, the undersigned is authorized under applicable War Production Board regulations or orders to place this delivery order, to receive the item(s) ordered, for the purpose for which ordered and to use any preference rating or allotment number or symbol which the undersigned has placed.
“Viking-Eichholz
“R. B. Bean
“Signature of Authorized Official.”

In order to obtain the necessary preference rating on the materials necessary for the electrical installation, defendants requested that plaintiffs furnish them with a break down of the materials to be used. On November 15, 1944, this information was furnished by plaintiffs and included in the list was certain of the materials necessary for installation of the low pressure electric alarm system. The total cost of the materials itemized by plaintiff was $6,-895.00, and this is the figure shown in defendants’ purchase order quoted above.

Plaintiffs commenced work pursuant to the terms of the purchase order and completed all of the specified work except the installation of the low pressure alarm system. On November 21, 1945, defendants, by written communication, notified plaintiffs that because of their refusal to install the low pressure alarm system, this portion of the job would be awarded to another bidder and the costs of this installation charged against the amount due the plaintiffs.

The importance of this system is unquestioned. Its purpose is to sound a warning when the air pressure in the system is reduced to such a point that any further reduction might permit the water to start flowing through the sprinklers with resultant water damage to all stored property.

On November 24, 1945, the plaintiffs answered defendants’ communication of November 21, 1945, by the following letter:

*467 “This will acknowledge receipt of your letter of November 21st with reference to the above captioned matter.
“Please be advised that we consider our sub-contract agreement with you as fully performed and executed on our part. The provision of the contract to which you refer does not require any electric alarm devices or circuits whatsoever, and in view of provision l-A-02 (c) electric alarm circuits were no part of our work. This subdivision is a part of the special provisions of the specifications which provide that they shall govern over the drawings and all specifications covering the work.
“It is our position and always has been our position that under the plans and specifications the alarm devices, bells and circuits were no part of our work, and we can, therefore, assume no responsibility for such work. However, in order to avoid any delay or misunderstanding, and to permit each party to preserve and protect his own rights with particular reference to the interpretation of the specifications, we are willing to proceed with the installation of these alarm devices under the following conditions, to wit:

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Cite This Page — Counsel Stack

Bluebook (online)
201 P.2d 475, 114 Utah 463, 1949 Utah LEXIS 187, Counsel Stack Legal Research, https://law.counselstack.com/opinion/vance-v-arnold-utah-1949.