Majority
Headnote
Municipal contract — New York (city of) — when contract for construction of sewer and sewage disposal plant invalid and unenforceable because plans and specifications are too indefinite ■— when certificates of performance and completion of work binding on city — improper use of sewer before completion — liability of city for extra work caused thereby.This action was brought to recover a balance alleged to be due to the appellant under a contract for the construction of a sewer and of a sewage disposal plant in the borough of Queens, and also several thousand dollars for extra labor and material which he alleges he was compelled to do and furnish “ in order to carry out and perform the terms of said contract, by reason of the wrongful acts, neglect, fault and omissions of the defendant, by changes of plans and in various other ways, and under the orders and directions of the defendant.” These last items of work and material are claimed to be “ in excess of that covered by the terms of the contract and necessary for the efficiency of the work required to be
In alleged competition with four others plaintiff bid upon and thereafter entered into a contract for the construction of the sewer and sewage disposal plant under discussion for the sum of $181,850, and of which amount the sum of $90,000 was to cover the disposal plant. As I understand it, the amounts were bid separately for the respective pieces of work. It is alleged, and in the case of the sewer is undisputed, that the plaintiff completed the sewer and disposal plant and thereafter received certificates from the proper officials of defendant to the effect that he had earned under the terms of his contract the sum of $191,550.59, and that he has received only the sum of $160,902.90. Outside of the items for extra services and materials above referred to and hereafter to be discussed by themselves, there seems to have been no dispute between the parties under the contract relating to the sewer, but the controversy arises concerning the sewage disposal plant, and it is assumed that if the plaintiff is not entitled to collect under the contract for work done and materials furnished in erecting the latter he has been paid all that he is entitled to for the construction of the sewer, and on that branch of the case would be entitled to no further recovery.
Two substantial reasons are urged why he is not entitled to collect under his contract for construction of the disposal plant. These are:
First, that the contract for the erection of said plant was illegal and void because the proposals for bids did not, sufficiently specify the work to be done and materials to be furnished so as to afford a basis for competitive bidding and thus comply with the provisions of defendant’s charter.
Second, that plaintiff did not so perform his contract, assuming it to be valid, as to entitle him to collect compensation.
I shall consider these two questions in the order stated.
Plaintiff entered into a contract for the construction of both sewer and the disposal plant. So far as his rights to compensation for the latter are concerned, I do not see that it makes
The first instrument or notice issued in behalf of the defendant after it was determined to do the work in question was directed “ To contractors ” and headed “ Proposals for sewer,” and it commences as follows: “ Sewer in Broadway. * * * in the Borough of Queens, also the erection of a Disposal Plant in connection with the same. * * * Sealed bids or estimates for the above work * * * will be received at the office of the Department of Sewers * * * and the award of the contract, if awarded, will be made to the lowest bidder.”
This paper then further states: “ The following is a state-' ment based upon estimates of the Engineer, of the quantity and quality, and the nature and extent, as near as possible, of the work required ; and the several bids will be tested by the quantities and qualities mentioned in such statement.” Then follow several items relating to the sewer, which need not be quoted, and these are followed by the concluding item : “ One . Sewage Disposal Plant complete in every detail, as per accompanying specifications and those given in the proposal, including the operation of the Sewage Disposal Plant for M. H. W. (six) months, and the tests connected therewith.”
This proposal was followed by or contained what is entitled “ Data relating to the Disposal Plant to be Constructed in Connection with the Sewer in Broadway * * * in the Borough of Queens.” These data are the only specifications given by the municipal authorities of the work to be done and materials to be furnished in the construction of this plant. I do not Understand that there is any dispute that if they do not furnish the basis for the necessary competitive bids, considering the nature of the work to be done, which are required by the charter, then this branch of the contract is’ invalid.
It is apparent from this general statement how indefinite was the description of the work to be done, and how j>ractically impossible it was for bidders to compete with one another on a common basis of work to be done and materials furnished, and how open to the discretion and judgment of the municipal officers it was to determine which was the lowest bid. As stated, the question is whether the proposal and the specifications weie sufficiently definite to comply with the provisions of law and to make a bid and a contract entered into in response thereto legal. I do not think that they were.
Section 401 of the Greater New York charter, in force at the time, provided that “ Power and authority to construct and erect and maintain sewage disposal works and plants and
Section 419 of the charter provides that “ All contracts to be made or let for work to be done or supplies to be furnished, * * ■* shall be made * * * under such regulations as shall be established by ordinance or resolution of the board of aldermen.” It further provides that all contracts involving more than one thousand dollars shall be founded on sealed bids or proposals and shall be awarded to the lowest bidder. Section 34 of the ordinances and regulations established by the board of aldermen and in force at the time of the making of ■ this contract, provides: “ Proposals for estimates shall be in such form as may be prescribed by the department making the same and shall contain the following particulars: * * *
“ 2. They shall state the quantity and quality of supplies or the nature and extent as near as possible of the work required.”
If it be assumed that in the construction of such a plant as this the execution of some minor details would necessarily be left to the judgment and discretion of the contractor, that assumption is not broad enough to save the plaintiff in this case.
It is not claimed, but, on the other hand, by plaintiff’s counsel is expressly disclaimed, that any element of patents was involved in the construction of the plant, and, therefore, that reason does not exist for excusing compliance with those requirements of plans and specifications which would govern an ordinary case of competitive bidding, and I am not able to see any special application of the case of Warren Bros. Co. v. City of New York ( 190 N. Y. 291 ), cited by appellant.
Neither does the argument find support in the evidence so far as I can discover that there were various standard systems
The Ricketson case seems to be especially applicable. It involved a contract for the erection of a garbage crematory. A statute of the state required an advertisement for such work after “ a plan or profile of the work to be done, accompanied
“ The indefinite character of the specifications and the
It is, however, urged that the principles which have been stated and referred to do not apply to an executed contract where the municipality has received and is enjoying the benefit of the work done or materials furnished under the contract.
It is very clear that such is not the law applicable to the facts presented here. This is not a case where there has been mere irregularity in letting the contract, but is a case where, if I am correct, the municipal authorities have attempted to let a contract which was not only not authorized, but which was in violation of the law and ordinances which governed them and which was utterly and jurisdictionally illegal. The action is explicitly based on contract and not -brought to recover on a quantum meruit, and I regard it as well settled that it cannot be maintained simply because the contract has been executed, some of the decisions here cited having reference even to actions based on a quantum meruit. (Brady v. Mayor, etc., of N. Y., 20 N. Y. 312 ; Moore v. Mayor, etc., of N. Y., 73 N. Y. 238 ; Cleveland S. F. Co. v. City of Greenville, 146 Ala. 559 ; Hope v. City of Alton, 214 Ill. 102 ; Citizens' Bank v. City of Spencer, 126 Iowa, 101 ; State ex rel. St. L. U. S. Co. v. Murphy, 134 Mo. 548 , 567; Schneider v. City of Menasha, 118 Wis. 298 ; Wormstead v. Cityof Lynn, 184 Mass. 425 .)
Lastly, on this point it seems to be urged that certificates of performance and completion of the contract provided for in the contract are such conclusive evidence against the defendant that plaintiff is entitled to recover. I shall have occasion to refer to these certificates on another point hereafter, but it seems obvious that certificates provided for in a contract which itself is jurisdictionally and fundamentally illegal cannot be
If I am right in the conclusion reached on the branch of the case already discussed, it is immaterial whether defendant’s second proposition that jilaintifE did not show such completion of his contract as to be entitled to pay is well founded, and, therefore, I shall only discuss it briefly.
Kef eren ce has already been made to the requirement that the proposed plant should be capable of treating one million gallons of sewage in twenty-four hours. In addition to this requirement there was the following one : “ The plant shall be so subdivided that during the test for six (6) months provided hereafter in these specifications, it shall be capable of treating Fifty thousand (50,000) gallons of sewage in twenty-four (24) hours; and shall be so designed and constructed as to treat this amount of sewage independent of the rest of the plant, excepting that the boilers, pumps and engines designed for the complete plant can be used to discharge the sewage and direct its flow through this test plant; all other appurtenances and appliances shall be designed for treatment of One Million (1,000,000) gallons per twenty-four (24) hours.” It was alleged on the trial and is contended now by the defendant that this requirement called on the plaintiff to so subdivide the plant outside of engines, boilers, etc, that one-twentieth part of it would be complete and could be used independently of the rest of the plant, and that the evidence showed that this had not been done and that, therefore, no recovery, could be had.
If the clause means precisely what the defendant claims it does I should doubt whether the evidence does establish that the plant had been so constructed that each section could be used independently of the rest. The clause, however, is ambiguous and the evidence is somewhat indefinite- and contradictory, but witnesses apparently bring the plant within what would be a fair interpretation of the terms of this plause. Furthermore, there were, as has already been stated, the usual provisions in the contract for certificates by defendant’s offi
The trial judge ruled that the burden rested on the defendant to assail these certificates and it is expressly stated by defendant’s counsel in his brief that, “ Whether this certificate was successfully assailed was essentially a question of fact,” and again, “ The same criticism applies to Point II (of plaintiff’s brief), that the fraudulent character of the certificates was a question of fact for the jury.” Under these admissions it would seem pretty plain that the plaintiff’s complaint could not have been dismissed on this ground. Still further, I think that the fifty thousand gallon clause heretofore referred to is to be construed as limited and applicable only to the period of six months for testing purposes, and if this be so undoubtedly the defendant through its proper officers in the absence of fraud might waive this particular .test and make a binding acceptance of the work without it, and in my opinion a jury would have the right to say that that result followed in this case by reason of the acceptance and continued use by the defendant of the plant.
Several claims are made for compensation for extra services and extra materials claimed to have been necessitated by the defendant cither through change of plans or through inaccuracies in plans and specifications on which plaintiff’s bid was made or wrongful conduct in interfering with and obstructing the completion of the work. So far as these claims spring from or are connected with the contract for the erection of the sewage disposal plant they must necessarily fall with the contract itself. Such of them, however, as are based on the contract for the construction of the sewer stand on a different basis. In Uvalde Asphalt Paving Co. v. City of New York ( 128 App. Div. 210 ; affd., 198 N. Y. 548 ), cited supra, tlie
There was evidence tending to show that the plans on which plaintiff based his bids contained the letters “ M. II. ~W” with certain figures and that these meant the level of mean high water; that as a matter of fact the level of mean high water was between one and two feet higher in the locality where the sewer was constructed than was represented on these plans, and that the result of this was that the contractor was compelled' to do more wet excavating, which was more expensive than dry, and certain other things in the construction of the sewer which, entailed greater expense. It is claimed that this amounted to misleading plaintiff, and that, therefore, he should receive extra compensation for this extra work. I think the difficulty with this contention is this : It appears that the figures which were given were correct so far as related to Newtown creek, and that this was the level commonly adopted by engineers in the borough of Queens in construction work, and there was nothing on the plan to indicate that the figures did not have reference to this basis ordinarily adopted rather than to the level prevailing in Horse Brook meadows where the sewer seems to have been constructed. The plaintiff assumes in this claim that they referred to the latter locality, and that, therefore, he had a right to act on
In the course of his work the plaintiff encountered a culvert, and it was necessary to make a syphon construction whereby to provide for the water running in this culvert. It is claimed that again defendant misled him by its plans, and that, therefore, it should compensate him for this extra work. The only claim of misrepresentation is based on a certain plan, plaintiff’s Exhibit H, and which does not show the culvert. The only purpose which was to be served by this plan is indicated in the specifications at folio 495, where it is said : “The sewers and appurtenances are to be built of the materials, sizes and dimensions, with the connections, on the lines, at the depths and on the grades and in the manner shown on a plan * * * dated December 5th, 1900,” and which is the plan referred to. This plan does not purport to show intercepting sewers or culverts. Deference to sections 157, 159 and 194 of the specifications for the construction of the sewer seem to indicate clearly the contemplation of the parties that such intercepting lines might be encountered in the construction of the sewers, and, therefore, it does not seem to me that the plan in question amounted to a representation that there were none, but this work came under the provisions of section 14 of the specifications reading “ All loss or damage arising out of the nature of the work to be done under this agreement, or for any unforeseen or unusual obstruction or difficulties which may be encountered in the prosecution of said work * * * shall be sustained by the Contractor aforesaid.”
The remaining claim, in my opinion, finds foundation in the evidence. By section 19 of the specifications it was provided that “ During the progress of the work and until the entire completion and final acceptance thereof, the sewers * * * are to be kept throughly cleaned throughout, and left clean.” The evidence tended to show that while the contractor com
Cullen, Ch. J., Gray, Werner, Willard Bartlett, Chase and Collin, JJ., concur.
Judgment accordingly.
Cases cited
- Sweet v. Morrison 116 N. Y. 19 p. 46
- Wyckoff v. Meyers 44 N. Y. 143 p. 46
- Snyder v. City of New York 74 App. Div. 421 p. 46, p. 57
- Wells v. Garbutt 132 N. Y. 430 p. 46
- Warren Bros. v. City of New York 190 N. Y. 297 p. 46
- Dean v. Mayor of New York 167 N. Y. 13 p. 47
- Smith v. Alker 102 N. Y. 87 p. 47
- Chambers v. Lancaster 3 App. Div. 215 p. 47
- Wiles v. Provost 6 App. Div. 1 p. 47
- Oberlies v. Bullinger 132 N. Y. 598 p. 47
- Desmond-Dunne Co. v. Friedman-Doscher Co. 16 App. Div. 141 p. 47
- Horgan v. Mayor of New York 160 N. Y. 516 p. 47
- Dwyer v. Mayor 77 App. Div. 224 p. 47, p. 48
- Leahy v. City of New York 192 N. Y. 42 p. 47
- Curnan v. Delaware & Otsego Railroad 138 N. Y. 480 p. 47
- Uvalde Asphalt Paving Co. v. City of New York 198 N. Y. 548 p. 48, p. 57
- Delafield v. Village of Westfield 41 App. Div. 24 p. 48
- Gage v. City of New York 110 App. Div. 403 p. 48, p. 53
- Morris & Cummings Dredging Co v. City of New York 193 N. Y. 678 p. 48
- People ex rel. Bullard v. Contracting Board 33 Barb. 510 p. 48
- People ex rel. Bullard v. Contracting Board 33 N. Y. 382 p. 48
- Brady v. Mayor of New York 20 N. Y. 312 p. 48, p. 55
- In re the Petitions of Eager 46 N. Y. 100 p. 48
- Smith v. Syracuse Improvement Co. 161 N. Y. 484 p. 48
- McDonald v. Mayor of New York 68 N. Y. 23 p. 48
- Parr v. President & Trustees of the Greenbush 72 N. Y. 463 p. 48
- Village of Fort Edward v. Fish 156 N. Y. 363 p. 48
- People ex rel. Ream Pavement Co. v. Board of Improvement of Union Street 43 N. Y. 227 p. 48
- In re Merriam 84 N. Y. 596 p. 48
- In re Anderson 109 N. Y. 554 at 558 p. 48, p. 53
- In re Meighan 182 N. Y. 558 p. 48
- Langley v. Rouss 185 N. Y. 201 p. 48
- Cunningham v. City of New York 185 N. Y. 549 p. 48
- Sullivan v. President & Trustees of the Village of Sing Sing 122 N. Y. 389 p. 48
- Ertle v. Leary 114 Cal. 238 p. 53
- Moore v. Mayor 73 N. Y. 238 p. 55
- Brady v. Mayor 132 N. Y. 415 p. 57