C. & A. Construction Company, Inc. v. Benning Construction Company

509 S.W.2d 302 (Ark. 1974)

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Nature of the Case

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Facts

P and D are subcontractors. They entered into an agreement for installing sewer lines. The contract stated that P will receive $ 20,000 for supervision, which will be added to the actual cost figure. The difference between actual cost and bid price was divided 1/3^rd to P and 2/3rds to D. P was to supervise the project. P was paid $517,451.11, and P brought suit for an alleged payment deficit of $55,243.20 on the contract. P presented evidence of a verbal agreement to pay salary and living expenses in addition to the $20,000. P got the judgment for $40,349.11. D appealed on an award for $18,600 (in addition to $20,000 for supervision) for the salary and living expenses of P's president and sole stockholder during the time he was personally engaged in the supervision of the construction. P contends this is a double recovery and contrary to contract terms.