Willard, Sutherland & Co. v. United States

56 Ct. Cl. 413, 1921 U.S. Ct. Cl. LEXIS 289, 1921 WL 1245
CourtUnited States Court of Claims
DecidedNovember 7, 1921
DocketNo. 34222
StatusPublished
Cited by9 cases

This text of 56 Ct. Cl. 413 (Willard, Sutherland & Co. v. United States) is published on Counsel Stack Legal Research, covering United States Court of Claims primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Willard, Sutherland & Co. v. United States, 56 Ct. Cl. 413, 1921 U.S. Ct. Cl. LEXIS 289, 1921 WL 1245 (cc 1921).

Opinion

DowNev. Judge,

delivered the opinion of the court:

The plaintiff seeks to recover the difference between the market value of 1,000 tons of coal delivered to the defendant and the amount it was paid therefor under a contract under which the defendant then contended and nowr contends that it was required to furnish it.

Seeking contracts for coal for the fiscal year 1917, the Navy Department issued a “ schedule ” containing general specifications, notes, etc,, and ten printed forms of proposals bearing different “ class ” numbers, each applicable to a different port or station and each containing therein in print the estimated amount needed at the named port or station. Among them was a form of proposal, “ class 18,” for the furnishing [418]*418of 600,000 tons of steaming coal for delivery at Hampton Roads.

Note (a) of tbe general provisions in the schedule, applicable generally to all classes, provided that—

“ Bids on less than the entire amount of coal specified under each class will be received and considered. Such partial bids must state the amount of tonnage it is proposed to furnish subject to the other conditions of these specifications.”

The plaintiff bid to furnish 10,000 tons at $2.85 per ton, the bid being submitted on the prescribed form by inserting 10,000 ” in lieu of the “ 600,000 ” printed therein. It was notified of the acceptance of its bid for 10,000 tons, and a contract was entered into made up physically of the bid and portions of the specifications, conditions, and notes clipped from the “ schedule ” and pasted on and thus made a part of the contract.

The plaintiff’s contention is that under the clause (a) above quoted it elected to and did submit its bids to furnish 10,000 tons of the estimated required amount of coal; that its bid was accepted for 10,000 tons; and that under its contract it had discharged its contract obligation when it had furnished that amount and could not be required to furnish more. The defendant maintains that by reason of certain provisions in the contract it had the right to require of the plaintiff under its contract the 1,000 tons in question. A construction of the contract in this x*espect is therefore necessary.

It is unfortunate that in matters of such moment the-United States must resort to such a patchwork method of constructing a contract rather than to simple and plain English so used as to express clearly the mutual rights and obligations of the parties to the avoidance of such controversies.

It seems to us quite pertinent as bearing upon the proper determination -of plaintiff’s obligation under the contract in question to consider the situation as it would have been had one party, the plaintiff or anyone else, bid to furnish the entire 600,000 tons stated in the submitted form of proposal and, upon acceptance of its bid, entered into a contract in the form now under consideration. What would have been the limits of the contractor’s rights and obligations? Would [419]*419tlie contract of necessity be construed as for the specific amount named or might there be a variance dependent on the needs of the naval service at that port?

In such circumstances note (a) would have had no office to perform, but other conditions stated in the schedule and incorporated in the contract, as they are in this instance, would be vital.

It sufficiently appears that the contracts sought are annual contracts for supplying the estimated needs of the Navy at certain named ports and stations during the ensuing fiscal year. Such needs, it will be conceded, could not be accurately stated in advance. Past experience, any known change in conditions being considered, furnished the best index. The general conditions incorporated in the schedule under the head “ Quantities estimated ” and incorporated also in the contract, contained these provisions:

“ It shall be distinctly understood and agreed that it is the intention of the contract that the contractor shall furnish and deliver any quantity of the coal specified which may be needed for the naval service at the places named during the period from July 1, 1916, to June 30, 1917, irrespective of the estimated quantities stated, the Government not being obligated to order any specific quantity.
The estimated quantities have been arrived at from the records of previous purchases. While they represent the best information obtainable as to the quantities which will be required during the period covered by the contract, they are estimated only and are not to be considered as having any bearing upon the quantity which the Government may order under the contract.”

The first paragraph of the quotation may be passed as immaterial here since it is designed simply to relieve the Navy Department from obligations to take any part of the estimated quantity which it may not need. The second paragraph informs bidders that the quantities stated áre estimated only and states the basis of the estimate which it is said furnishes the best information obtainable “ as to quantities which will be required during the period covered by the contract.” “ Required,” .beyond question, by the Navy Department at, in each instance, the port or station named. And following is the very specific provision that they, the [420]*420estimated quantities, “ are not to be considered as having any beáring upon the quantity which the Government may-order under the contract.” . •

Incorporated in an annual contract entered into by.a bidder who proposed to furnish the entire estimated quantity of 600,000 tons, can there be any doubt that these provisions would relieve the Government from ordering more than 500,000 tons if perchance no more was needed or would permit it to order and require the contractor to furnish .700,000 tons if needed by the Navy Department at this port? If one contract had thus been made for the entire estimated quantity, it is not at all likely that such a question, as is'here presented would ever have arisen. Contracts indefinite in quantity but measured by a need are enforceable . to the extent of the need. Brawley v. United States, 96 U.S. 168.

The contention of the plaintiff is predicated on note (a) quoted above and the fact that thereunder it bid to. furnish 10,000 tons. The effect of that clause is for consideration, not standing alone, but in the light of the other provisions just discussed and other pertinent facts. And the discussion of the effect of the other provisions upon this one is abbreviated, in fact practically rendered needless, by the concluding words of the note which attach to the required statement as to the amount it is proposed to furnish, the further condition that it be a statement of the amount it is proposed to' furnish, subject to the other conditions of these specif cations'. (Italics ours.)

We are not permitted to disregard this language. ' There is nothing in it of repugnancy or inconsistency. And given its plain meaning it must require that the conditions ■ discussed as applicable to an assumed contract for the- entire estimated needs apply to a contract such as this for an apportioned part thereof.

It is readily to be urged that such a construction imposes a burden in excess of that intended to be assumed and perhaps beyond the possibility of performance.

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

Related

G & H Machinery Co. v. United States
35 Cont. Cas. Fed. 75,638 (Court of Claims, 1989)
E. W. Bliss Co. v. United States
70 Ct. Cl. 176 (Court of Claims, 1930)
Kingsbury v. United States
68 Ct. Cl. 680 (Court of Claims, 1930)
Yale & Towne Manufacturing Co. v. United States
67 Ct. Cl. 618 (Court of Claims, 1929)
Huron Navigation Corp. v. United States
60 Ct. Cl. 770 (Court of Claims, 1925)
Chicago & Alton Railroad v. United States
57 Ct. Cl. 300 (Court of Claims, 1922)
Herrman v. United States
57 Ct. Cl. 96 (Court of Claims, 1922)

Cite This Page — Counsel Stack

Bluebook (online)
56 Ct. Cl. 413, 1921 U.S. Ct. Cl. LEXIS 289, 1921 WL 1245, Counsel Stack Legal Research, https://law.counselstack.com/opinion/willard-sutherland-co-v-united-states-cc-1921.