than three to four sentences. This Problem is worth 25 points. Background: This
ID: 397210 • Letter: T
Question
than three to four sentences. This Problem is worth 25 points. Background: This lawsuit arises from B's decision to ask A to perform an aspect of the job using A's grouting technique. A is an established firm specializing in a form of foundation work known as grouting, which consists of pressurized injection of a cement-based mixture into the soil underlying a building to arrest subsidence and, in some cases, raise foundation walls. In the summer of 1990, B, a small construction firm, entered into a contract with the private developer to stabilize and partially reconstruct a building in the District of Columbia. The structure was a relatively old and was built on filled ground. Over time, the structure sunk on all four sides, causing the floors to bow in the middle B's task, among other things, was to stabilize the structure to prevent further sinking and to raise certain parts of the foundation, particularly the northeast corner, to partially alleviate the unevenness of the floors. Facts: In early August, A and B discussed the project over several conferences and telephone calls. On August 14, A submitted a written proposal to B. The proposal included A's standard terms and conditions. A's proposal made no guarantee that efforts either to stabilize or to lift the building would be successful, made no commitment as to time of completion of the job, and contemplated that the work would be billed at a per diem rate without any limitation on the total price of the job After further conversations with B. B sent A an email on August 25 indicating A's proposal was acceptable subject to verbally agreed changes" and that a signed revision would follow The next day B prepared and signed an edited version of A's proposal to be mailed to A. The purpose of the revision was to indicate that A was committed to stabilize the building and to lift the northeast corner by at least one and half inches and that the job would be undertaken in approximately ten days with a maximum payment of S20,000 A never received this document nor did A inquire why it had not been received as promised. Both parties proceeded on the assumption that they had come to some type of agreement, and work on the site began August 28 Dispute:Explanation / Answer
1. To support his claim A can argue that in their proposal they have clearly mentioned that they cannot guarantee stabilization of the building or lifting it. Besides, their proposal has not any commitment regarding the duration and price of work.
Furthermore, they have successfully performed their obligation to stabilize the building’s perimeter and raise the northeast corner of the building. In addition to it, they were not aware of the cap of $20,000 put by B on the price and that the work was required to be completed within 10 days. A can also argue that B was completely aware of the work proceedings, but it never indicated anything regarding the job completion time or price.
2. To support its claim B can argue that they have mailed a revised contract to A which required them to commit the stabilization of the building and lifting the northeast corner by more than one and half inches. Besides, the job needs to be completed in 10 days in a budget of $20,000. However, A failed to lift the northeast corner of the building by the desired rise. In addition to it, the task extended to 25 days and A terminated work without completing the task.
3. There was not an actual contract formed between A and B, since both of them had not come to a mutual agreement which an essential component of forming a contract.
4. a. A cannot recover from B for the work that it has performed.
b. Similarly, B cannot recover the payments it has made.
5. This misunderstanding could have been avoided by forming a formal contract having mutually agreeable terms. It would have helped to remove any confusions and miscommunications.
Related Questions
Navigate
Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.