WRB Corp. v. United States

183 Ct. Cl. 409, 1968 U.S. Ct. Cl. LEXIS 82, 1968 WL 9146
CourtUnited States Court of Claims
DecidedApril 19, 1968
DocketNo. 67-62
StatusPublished
Cited by123 cases

This text of 183 Ct. Cl. 409 (WRB Corp. 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
WRB Corp. v. United States, 183 Ct. Cl. 409, 1968 U.S. Ct. Cl. LEXIS 82, 1968 WL 9146 (cc 1968).

Opinion

Davis, Judge,

delivered the opinion of the court:

During 1958-1960 the plaintiff — 17 California corporations acting together as a joint venture under the name Eobertson Construction Company — built a 500-unit Cape-hart Act housing project at Fort Hood, Texas. Having collected the original contract price of $8,218,036 plus about $16,000 resulting from 10 formal changes in the contract, the joint venture now seeks almost one and one-half million dollars for alleged breaches by the Government during construction.

This complex case was referred to Trial Commissioner Mastín G. White with directions to make findings of fact and to recommend conclusions of law. Without any objection by the Government, a full trial was had and completed.1 Not until after the submission by the parties of proposed findings to the commissioner did the defendant move to suspend proceedings here in order to allow an administrative determination by the Armed Services Board of Contract Appeals. The commissioner denied this motion as far too late, and the court sustained that ruling. 177 Ct. Cl. 909 (1966). The subsequent decision in Len Company & Associates v. United States, 181 Ct. Cl. 29, 385 F. 2d 438 (1967), shows that in any event the ASBCA had no jurisdiction of most, probably all, of the claims.

Commissioner White filed a comprehensive, careful, and detailed report based on the trial record and the submissions made to him. Exceptions were filed by the plaintiff,2 and [417]*417tibe case was presented to the court on oral argument and briefs. Since the court agrees, in largest part, with the commissioner’s recommendations, we adopt and incorporate, with some deletions and some modifications in language or reasoning and some in result, the bulk of his opinion as Part II of our own. We also accept, with slight alterations, his findings of fact. Before setting forth his opinion (as modified), we touch, in Part I, on some of the points stressed before the court.

I.

A. Releases: The Government argues that general releases (with exceptions) signed by the contractor at the closing of each mortgage are a bar to many of the claims. The difficulty is that the defendant, contrary to our Rule 57 (f) (2),3 failed to request the specific findings that would require discussion of the releases as they relate to the various claims. The Government’s proposed findings 13-18 (which, for the most part, have been adopted as findings 16-24) are plainly insufficient. Those findings constitute little more than an introductory statement that releases had been executed, plus scattered, general references to them. Rule 57(f)(2) requires “particular findings of fact” (emphasis added), which we interpret as dictating collation of the releases, including their exceptions, with the specific claims (or portions of multi-faceted claims) defendant asserts are barred by the releases. Anything less, especially in a case as complicated as this, would cast too heavy a burden on the commissioner and the court — a task that should be borne by the defendant. Neither the commissioner nor the court should be asked to do the parties’ work for them. The commissioner was entirely justified in declining to make, on his own, specific findings upon which defendant’s legal argument could be rested, and without those specific findings the release defense has no support.

There is another reason for refusing to consider the Government’s argument. Despite numerous extensions, the de[418]*418fendant failed to make a timely filing of its exceptions to and briefs on the commissioner’s report. Though we allowed the defendant to submit a brief on legal points and authorities, we did not permit, because of its unexcused delinquency, any Government exceptions to the commissioner’s findings. See Buie 57(f) (l).4 We will not now allow it to avoid this sanction by, in efiect, excepting to the commissioners’ failure to make detailed findings with respect to the releases.5

B. Protests to the contracting officer: The Government also says, at this stage, that plaintiff waived claims 1-10, 13-20, and 22-26 by complying with the directives issued by the resident engineer and various government inspectors (requiring plaintiff to do work allegedly not warranted by the contract) without appealing or protesting to the contracting officer. However, when it proposed its findings to Commissioner White, the defendant suggested findings on plaintiff’s failure to appeal, or protest to the contracting officer, only in comiection with claim 5, claim 15, and the “bird blocking” portion of claim 26. Quite properly, the commissioner limited his discussion and findings to those particular aspects, concluding that plaintiff had waived claim 5 but not claims 15 and 26. Plaintiff excepted to this disposition of claim 5, and the findings on claims 15 and 26 provide an adequate basis for the defendant to press its legal disagreement with the adverse recommendations on those parts of the case. For the reasons now to be stated, we hold that the Government’s defense is good only as to claim 15.

Although the details of these claims are set forth in Part II infra and in the findings, we capsule them here for con[419]*419venience. The plaintiff alleges under claim 5 that the resident engineer misinterpreted the specifications when he ordered the builder, over its objection, to insulate water pipes in the “furred” spaces above the ceilings in the deck and beam houses. As to the other two claims, plaintiff argues that the government’s inspectors called for work not warranted by the contract when they directed, despite remonstrances, that portions of the refrigerant lines be continuous copper tubing and that “bird blocking” not be added to the rafters until after the installation of the dry wall. Assuming for the present that government personnel did misinterpret the specifications in each of these instances, the defense of waiver remains as a potential barrier to plaintiff’s success, since the contractor did not protest the resident engineer’s action to the contracting officer (claim 5) or notify either the contracting officer or the resident engineer of its objection to the inspectors’ orders (claims 15 and 26).

The Government’s primary tack (the essence of which the commissioner adopted in denying recovery on claim 5) is that the plaintiff waived its claim by acquiescing “in the decisions of subordinate Government personnel who were not authorized to alter the terms or conditions of the Housing contract.” The argument leans heavily on cases holding that, because the standard “Changes” article vests the contracting officer or his authorized representative with the exclusive power to modify the contract requirements, a contractor must present to him any claim that defendant’s agents are imposing requirements not sanctioned by the contract (which is, in effect, an assertion that the builder is being subjected to a de facto or “constructive” change in the contract). See General Bronze Corp. v. United States, 168 Ct. Cl. 176, 186-89, 338 F. 2d 117, 123-24 (1964); Fox Valley Engineering, Inc. v. United States, 151 Ct. Cl. 228, 237-38 (1960); Woodcraft Corp. v. United States, 146 Ct. Cl. 101, 103, 173 F. Supp. 613, 614 (1959); J. A. Ross & Co. v. United States, 126 Ct. Cl. 323, 329-30, 115 F. Supp. 187, 190-91 (1953); Globe Indemn. Co. v. United States, 102 Ct. Cl.

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Cite This Page — Counsel Stack

Bluebook (online)
183 Ct. Cl. 409, 1968 U.S. Ct. Cl. LEXIS 82, 1968 WL 9146, Counsel Stack Legal Research, https://law.counselstack.com/opinion/wrb-corp-v-united-states-cc-1968.