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Union Indemnity Co. v. Handley

Supreme Court of Alabama
Dec 19, 1929
220 Ala. 292 (Ala. 1929)

Summary

In Union Indemnity Co. v. Handley, 220 Ala. 292, 124 So. 876, we held that small tools, and other small articles such as soap, cups, tubs, buckets, brooms, and spoons are covered by the bond, though they be in the nature of equipment, and not wholly consumed or abandoned on the job.

Summary of this case from United S. F. G. Co. v. Yeilding Bros

Opinion

5 Div. 26.

October 17, 1929. Rehearing Denied December 19, 1929.

Appeal from Circuit Court, Randolph County; W. B. Bowling, Judge.

Dickinson Dickinson, of Opelika, for appellant.

The evidence is insufficient to show that the merchandise for which this suit was brought actually went into the structure or work so as to become a part of same or was wholly or substantially consumed in the construction of the work. May Thomas v. McConnell, 102 Ala. 577, 14 So. 768; Union Ind. Co. v. State, 217 Ala. 35, 114 So. 415. Groceries, feedstuffs, etc., are not covered by the bond. Watkins v. U.S. F. G. Co., 138 Miss. 388, 103 So. 224; Westling v. Republic Cas. Co., 157 Minn. 198, 195 N.W. 769; Lillard v. Royal Ind. Co., 219 Mo. App. 584, 282 S.W. 168; Wiss v. Royal Ind. Co., 219 Mo. App. 568, 282 S.W. 164; U.S. v. Lowrence (D.C.) 236 F. 1006; Empire St. Sur. Co. v. Des Moines, 152 Iowa, 532, 131 N.W. 870, 132 N.W. 837; So. Sur. Co. v. Nat'l Lbr. Co., 73 Ind. App. 592, 122 N.E. 686; Reiff v. Redfield Sch. Bd., 126 Ark. 474, 191 S.W. 16; Road Sup. M. Co. v. K. C. C. S. Co., 103 Kan. 125, 175 P. 108.

Denson Denson, of Opelika, for appellee.

The materials and supplies contemplated by the bond in this case include all materials or supplies furnished to the contractor in the prosecution of the work that contributed directly or indirectly to the completion of the work. Groceries, feedstuffs, soaps, brooms, matches, clothing, shoes, and tobacco are supplies within the meaning of the bond. Union Ind. Co. v. State, 217 Ala. 35, 114 So. 415; Union Ind. Co. v. State, 218 Ala. 132, 118 So. 148; Franzen v. So. Sur. Co., 35 Wyo. 15, 246 P. 30, 46 A.L.R. 496; J. F. Anderson L. Co. v. Nat'l Sur. Co., 49 S.D. 235, 207 N.W. 53; Overman v. Md. Cas. Co., 193 N.C. 86, 136 S.E. 250; Plyler v. Elliott, 191 N.C. 54, 131 S.E. 306; U.S. v. Lowrence (C.C.A.) 252 F. 122; March v. Butler (S.D.) 220 N.W. 461; Bricker v. Rollins, 178 Cal. 347, 173 P. 592; Hansen v. Remer, 160 Minn. 453, 200 N.W. 839; Clatsop County v. Feldschau, 101 Or. 369, 199 P. 953, 18 A.L.R. 1221; So. Sur. Co. v. Guaranty St. Bank (Tex.Civ.App.) 275 S.W. 436; U.S. Rubber Co. v. American Bonding Co., 86 Wn. 180, 149 P. 706, L.R.A. 1915F, 951; County of Multnomah v. U.S. F. G. Co., 87 Or. 198, 170 P. 525, L.R.A. 1918C, 685.


W. W. Hicks, doing business as the Hicks Contracting Company, entered into a contract with the state for the construction of a highway from Roanoke to Wedowee. He furnished bond, with appellant, Union Indemnity Company, as surety, for the performance of his contract. One special provision of his contract was as follows:

"Payment for labor, materials and supplies. The contractor agrees that he will pay all sums which may be due for labor in the performance of this contract, and for materials and supplies used in its performance as the same become due."

The bond to secure performance of the contract, with appellant as surety, provided:

"The said principal and sureties both agree as part of this obligation to pay all damages of any kind to person or property that may result from a failure in any respect to perform and complete said contract, and guarantee the payment of such sums due for labor, materials and supplies used in the performance of this contract as set forth under special provisions."

Before completing the highway contracted for, Hicks defaulted, and appellant, defendant in the trial court, took over the contract and completed the work. Plaintiff in the suit here under review recovered judgment for, as he alleged in his complaint, "materials and supplies employed or used in the performance" of the contract and furnished by him and by others who had assigned their claims to him. These materials and supplies, if such they are due to be called, may be described as follows: Food for laborers, feed for mules, clothing (including shoes) bought by Hicks and furnished to laborers, tobacco, cigarettes, small tools, such as axes, hammers, and pick handles, harness for mules, and small articles, such as soap, cups, tubs, buckets, brooms, and spoons. The question presented for decision is whether appellant, as guarantor, should be required to pay for the articles named, and the like, as being "materials and supplies" within the meaning of the contract by which appellant bound itself, that is, materials and supplies used in the performance of the contract for the performance of which Hicks bound himself as principal, defendant as surety or guarantor.

There are many decisions on the question here presented in some one or other of its aspects. They are in a great state of confusion and conflict. Two opinions by this court have discussed the question, and, in so far as they are applicable, have now been followed. Union Indemnity Co. v. McQueen, Smith Farming Co., 217 Ala. 35, 114 So. 415, and Union Indemnity Co. v. State, for Use of R. S. Armstrong, 218 Ala. 132, 118 So. 148. The contract here is just what it was in those cases. There is no occasion to doubt that the contractor's bond became liable for the value of materials incorporated in the body of the construction contracted for, viz. steel, lumber, cement, sand, etc. The articles here in dispute are of a different character and use. They are not bodily incorporated in the construction, but as the means or vehicle of contributing energy they are, as we think we may safely say, quite as essential, with one exception, to road construction as the materials which are bodily incorporated therein. Many courts have so ruled, and this court in the cases to which we have referred has held, in the first named case, that: "First, piling and sway braces used for scaffolding in the river to support the men at work and the materials of the superstructure while being constructed" — in that case a river bridge — "This material, usually abandoned on completion of a bridge of this character, may be considered under the evidence as consumed in the using, and not a part of the contractor's general equipment. Second, ferriage in transporting men and material from one side of the river to the other in the course of the construction work. Third, hire of man, team and wagon for hauling machinery, timbers, and supplies for the contractor in connection with the building of the bridge" come within the "supplies" covered by the bond, and in the second named that claims for the rentals of equipment used in the construction of the bridge were covered by the bond, but that a claim for the repair of a hoisting engine and freight bill incident to its return to the contractor were not so covered. The principle of these decisions, if to be further followed, would require a decision here affirming the judgment of the trial court.

As for the items of tobacco and cigarettes, the court is unable to deny that these articles too may have contributed something to the human energy put into the construction of this road by the employés of the contractor, and hence were worth paying for, and their reasonable price a proper charge against the liability assumed by the appellant company.

The conclusion is that the judgment should be affirmed.

Affirmed.

THOMAS, BOULDIN, and BROWN, JJ., concur.


Summaries of

Union Indemnity Co. v. Handley

Supreme Court of Alabama
Dec 19, 1929
220 Ala. 292 (Ala. 1929)

In Union Indemnity Co. v. Handley, 220 Ala. 292, 124 So. 876, we held that small tools, and other small articles such as soap, cups, tubs, buckets, brooms, and spoons are covered by the bond, though they be in the nature of equipment, and not wholly consumed or abandoned on the job.

Summary of this case from United S. F. G. Co. v. Yeilding Bros

In Union Indemnity Co. v. Handley (Ala.), 124 So. 876, the bond provided that "the contractor agrees that he will pay all sums which may be due for labor in the performance of this contract, and for materials and supplies used in its performance as the same become due."

Summary of this case from County of Lake v. Southern Surety Co.
Case details for

Union Indemnity Co. v. Handley

Case Details

Full title:UNION INDEMNITY CO. v. HANDLEY

Court:Supreme Court of Alabama

Date published: Dec 19, 1929

Citations

220 Ala. 292 (Ala. 1929)
124 So. 876

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