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Word Of Contract Trumps Word Of Mouth no Exceptions, Sort Of

Saturday, July 04, 2009 06:06 pm

 
Word Of Contract Trumps Word Of Mouth--no Exceptions, Sort Of Change Orders--Oral Contract Industrial Window Corp. v. Federal Insurance Co. U.S.District Court for the Southern District of New York 2009 U.S.Dist.Lexis 30637(April 8, 2009)

A subcontractor made the mistake of trusting oral direction on a project where the contract explicitly required writtenonly work modifications.But then the contractor goofed by paying for work that had been verbally solicited-- thereby weakening the ironclad contractual requirement.

Hill International, Inc.(Hill), entered into a prime contract with the City of New York Department of Design and Construction to manage the construction of the Schomberg Center for Research in Black Culture(the Center).Beys General Construction Corp.(Beys)served as general contractor and Industrial Window Corp.(Industrial)served as subcontractor to install a curtain wall system at the Center.

A dispute arose when Industrial claimed that it performed additional work that was beyond the scope of its subcontract with Beys but that had been agreed to orally by Beys's project manager.Industrial also contended that Beys's project manager had agreed that stainless steel con-vector covers and bird screens, which the subcontract listed as being under the scope of Industrial's work, were actually not within the scope of contractual work.Industrial submitted change orders for the additional work, as well as the convecto [...]

 
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