Scott v. Rapid Valley Race Track, Inc.
Scott v. Rapid Valley Race Track, Inc.
Opinion of the Court
Plaintiff, H. R. Scott, in an electrical contractor, doing business in Rapid City as Rapid Electric Company. The defendant, Rapid Valley Race Track, Inc., operates a race track for stock car racing. One Nelson is its secretary-treasurer and managing officer. In August 1952 Nelson began negotiating with plaintiff for the construction of a lighting system for the track. These negotiations were principally with one Christenson, who was plaintiff’s foreman. The parties had been doing business with each other for some five or six years and their relations were on the basis of mutual trust. Defendant would place orders with plaintiff for work or materials and the cost would be carried on an open ledger account, which would be paid on the rendition of statements on the first of the month. At a talk in September 1952 about t'he lighting system, Nelson told Christenson to go ahead and get something going. The latter said he would. In a conversation with Christenson and one Berry, of Minneapolis, who was acting as a technical advisor, Nelson said, “Let’s go ahead. You have had the authority to
Plaintiff assigns as error the failure of the trial court to make any finding of fact on the contractual relation of the parties, claiming that there is evidence from which the court could have found that plaintiff could recover a money judgment against defendant, regardless of whether or not his lien is valid.
The complaint, in the usual form for the foreclosure of a lien, alleges that, at the special instance and request of defendant, plaintiff did sell, deliver and furnish materials for the improvement of the premises, which were of the reasonable and agreed value of $13,356.70. The filing of the mechanic’s lien is alleged and the prayer is for a
Defendant urges that this is not an action for breach of contract, to which we agree, but, nevertheless, the court should have made a finding on the contractual issue, and if a contract was found, whether or not it had been broken by plaintiff or defendant. Plaintiff in his requested findings has treated the contract as one for a “lighting system,” rather than several contracts for materials therefor. It is such a contract which may be found from plaintiff’s evidence. See Kopald Elecrtic Co. v. Mandan Creamery & Produce Co., 76 N.D. 503, 37 N.W.2d 253. The contract being entire, for the construction of a lighting system which has been only partly performed, the plaintiff may, nevertheless, have a cause of action against defendant. Where a construction contract is breached by the owner the contractor is not confined to an action for damages. He may acquiesce in the breach, treat the contract as rescinded and recover upon quantum meruit in so far as he has performed. 9 Am. Jur., Building and Construction Contracts, 74, § 117; 17 C.J.S., Contracts, §§ 511, 1095; and see Note 13 L.R.A.,N.S., 448. The rule was followed in early South Dakota cases. Caldwell
In such cases, to justify a recovery for materials, it must be found that title thereto has passed to the owner. Kopald Electric Co. v. Mandan Creamery & Produce Co., supra. This is a question which the trial court must determine. There are no services included in plaintiff’s claim, other than $300 for engineering.
A reversal for a retrial being necessary, so that the court may determine the contractual issue, we have not passed on the assignment that the plaintiff’s lien was valid.
The judgment appealed from is reversed.
Reference
- Full Case Name
- SCOTT v. RAPID VALLEY RACE TRACK, INC.
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- 1 case
- Status
- Published