Motel Services, Inc. v. Central Maine Power Co

394 A.2d 786 (1978)

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Nature of the Case

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Facts

Motel Services (P) agreed with the Waterville Housing Authority to build two housing projects on a turnkey basis. Initially, the plans called for oil heating, but P got real smart and found out that Central Maine Power Co. (D) was offering a promotional allowance to install electric heating. P then persuaded Waterville and HUD to consent to modifications and even offered a price reduction of $16,000. P did not tell them that he was getting a promotional allowance from D. After the electrical system was installed and before all the Standards required by D had been complied with, P conveyed the property to Waterville to avoid tax consequences. The projects were completed and eventually met all of D's standards. D completed the paperwork and inspection from D and D then, not knowing of the situation, sent the forms and allowance to Waterville. P sued D claiming it was entitled to the allowance. Judgment was for D and P appealed.