Opinion · Supreme Court of the United States
Dermott v. Jones
Dermott v. Jones, 69 U.S. (2 Wall.) 1 (1865)
- Type
- Opinion
- Court
- Supreme Court of the United States
- Jurisdiction
- Federal
- Date
- 1865-01-18
- Topic
- general
How later courts describe this case
- “defendant is entitled to recoup for the damages he may have sustained by the plaintiff’s deviations from the contract”
Citator
UpLaw has not yet analyzed Dermott v. Jones. The absence of a flag is not a finding that it is good law.
- Cited by
- 211 opinions
Headnotes
- Contracts Law — Interpretation A contract and the specifications annexed to it constitute a single instrument and must be construed together as one common context, not as independent writings.
- Contracts Law — Performance — Duty to Fulfill Express Covenant Where a party by contract binds himself to an obligation that is possible to perform, he must fulfill that obligation and do whatever is necessary to its performance.
- Contracts Law — Impossibility A party who contracts to perform a possible obligation is not excused from performance by unforeseen difficulties, however great; performance is excused only where rendered impossible by the act of God, by law, or by the other party. A party seeking relief from hardship under such a contract must guard against it by a provision in the contract itself, and courts cannot relieve him where he has failed to do so.
- Contracts Law — Impossibility Where a party undertakes by contract to build or repair, he is bound to complete the work notwithstanding the destruction of the structure by fire or flood or the discovery of a latent defect in the soil; the loss must be borne by the contractor absent a provision for dispensation in the contract.
- Contracts Law — Equitable Relief — Sanctity of Contracts Equity will not interpose to annul a contract fairly made or to interpolate terms the parties themselves have not stipulated; where unexpected impediments arise, the loss is left where the contract places it, unless the parties have provided for a dispensation.
- Contracts Law — Recoupment — Failure to Allow Defense A defendant is entitled to recoup damages sustained by the plaintiff's deviations from a construction contract not induced by the defendant, and a court's denial of that right of recoupment is fatal error.
- Contracts Law — Remedies — Action Upon Executory Versus Executed Contract While a special contract remains executory, the plaintiff must sue upon the contract itself; once the contract has been fully executed according to its terms and nothing remains but payment of the price, the plaintiff may sue on the contract or in indebitatus assumpsit on the common counts, and in either case the contract governs the rights of the parties.
- Contracts Law — Remedies — Recovery Where Work Not Performed per Contract A contractor who has been guilty of fraud, or who has willfully abandoned the work leaving it unfinished, cannot recover in any form of action; but a contractor who has in good faith fulfilled the work though not in the manner or within the time prescribed, and whose work has been sanctioned or accepted by the other party, may recover upon the common counts in indebitatus assumpsit.
- Contracts Law — Remedies — Proof of Contract and Departure from Contract Prices In an action on the common counts by a contractor who has substantially performed, the contract must be produced at trial and applied so far as it can be traced; where the cost of work or materials has been increased by the fault of the defendant, the jury may depart from the contract prices.
delivered the opinion of the court:
The defendant in error insists that , all the work he was required to do is set forth in the specifications,'and that, having fulfilled his contract in a workmanlike manner, he is not responsible for defects arising from a cause of which he was ignorant, and which he had no agency in producing.
Without examining the soundness of this proposition, it is sufficient to say that such is not the state of the case. The specifications and the instrument to which they are annexed constitute the contract. They make a- common context, and must be construed together. In that instrument the defendant in error made a covenant. * That covenant it was his duty to fulfil, and he was bound to do whatever was necessary to its performance. Against the hardship of the case he might have guarded by a provision in the contract. Not having done so, it is not in the power of this court to relieve him. He did not make that part of the building “ fit for use. and occupation.” It could not be occupied with safety to the lives of the inmates. It is a well-settled rule of law, that if a party by his contract charge himself with an obligation possible to be performed, he must make it good, unless its performance is rendered impossible by the act of God, the law, or the other party. Unforeseen difficulties,however-great, will not excuse him. †
*8 The application of this- principle to the class of cases to which the one under consideration belongs is equally well settled. If a tenant agree to repair, and the tenement be burned down, he is bound to rebuild. * A company agreed to build a’ bridge in a substantial manner, and to keep it in repair for a certain time. A flood carried it away. It was held that the company was bound to rebuild. † A person contracted to build a house upon the land of another., Before it was completed it was destroyed by fire. It was held that he was not thereby excused from the performance of his contract. ‡ A party contracted to erect and complete a build-ingon a certain lot. By reason of a latent defect in soil the building fell down before it was completed. It was held (School Trustees v. Bennett, § a case in New Jersey, cited by counsel), that the loss must be borne by the contractor. The analogies between the case last cited and the one under consideration are very striking. There is scarcely a remark in the judgment of the court in that case that does not apply here. Under such circumstances equity cannot interpose. ||
The principle which controlled the decision of the cases referred to rests upon a solid foundation of reason and justice. It regards the sanctity of contracts. It requires parties to do what they have agreed to do. If unexpected impediments lie in the way, and a loss must ensue, it leaves the loss where the contract places it. If the parties have made no provision for a dispensation-, the rule of law gives none. It does not allow a contract fairly made to be- annulled, and it does not permit, to be interpolated what the parties themselves have not stipulated.
"We are of opinion that the plaintiff below was entitled to recover, but that the court, in denying to- the defendant the right of recoupment, committed an error which fe'fatal to the judgment.
*9 We might here terminate our examination of the case; but as it will doubtless be tried again, — and the record presents several other points to which our attention has been directed, — we deem it proper to express our views upon such of them as seem to be material.
While a special contract remains executory the plaintiff must sue upon it. When it has been fully executed according to its terms, and nothing remains to be done but the payment of the price, he may sire on the contract, of in in~ debitatus assumpsit, and rely upon the common counts. In either case the contract will determine the rights of the parties;
When he has been guilty of fraud, or has wilfully abandoned the work, leaving it unfinished, he cannot recover in any form of action. Where he has in- good faith fulfilled, but not in the manner or not within the time prescribed by-the contract, and the other party has sanctioned or accepted the work, he may recover upon the common counts in inde-bitatus assumpsit.
He must produce the contract upon the trial, and it will be applied as far as it can he traced; but if, by the fault of the defendant, the cost of the work or materials has been increased, in so far, the jury will be warranted in departing from the contract prices. In such cases the.defendant is entitled to recoup for the damages he may have sustained by the plaintiff’s deviations from the contract, not induced by him-' self, both as to the mahner and time of the performance.
There is great conflict and confusion in the authorities upon this subject. The propositions we have laid down are reasonable and just, and they are sustained by a preponderance of the best considered adjudications. *
Judgment eeveesed, and the cause remanded for further proceedings in conformity with this opinion.
See supra, p. 2.
Paradine v. Jayne, Alleyn, 27; Beal v. Thompson, 3 Bosanquet & Puller, 420; Beebe v. Johnson, 19 Wendell 500; 3 Comyn’s Digest, 93.
Bullock v. Dommett, 6 Term, 650.
Brecknock Company v. Pritchard, Id. 750.
Adams v. ÍTickols, 19 Pickering, 275; Bumhy v. Smith, 3 Alabama, 123, is to the same effect.
3 Dutcher, 613.
Gates v. Green, 4 Paige, 355; Holtzaffel v. Baker, 18 Yesey, 115.
Cutter v Powell, 2 Smith’s Leading Cases, 1, and notes; Chitty on Contracts, 612, and notes.