Southern Painting Company Of Tennessee, Inc. v. United States Ex Rel. Silver

222 F.2d 431 (1955)

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Nature of the Case

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Facts

D hired P as a subcontractor to furnish all labor, material, and supervision in connection with the plumbing and heating specifications under two contracts which D had with the United States. Under the contract, D agreed to reimburse P for all material, labor, taxes, insurance, etc. and agreed to purchase 1tools and equipment necessary to do the work. P was to receive a $10,000 lump sum plus a fair percentage of the net profit on all additional extra plumbing and heating work. P alleged that after he had practically completed such work, D breached the contract by refusing to allow him to finish the work; that because of such breach he was entitled to sue for the reasonable value of the work he had performed under quantum meruit. He asked for judgment in the sum of $72,000. D alleged that P wrongfully breached the contract, forcing Southern at great cost to get another contractor to complete the work. The court found that D breached the contract. More than 90% of all the work under the subcontract was completed at the time of the breach and P had been paid $7,000 of his fee under the subcontract. An experienced plumbing contractor testified as to the value of the services provided. The court found the fair and reasonable value of P's services under the contract and found that in addition to what he had received he was entitled to receive an additional $13,000 together with interest from July 15, 1952, until paid. D appealed.