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Contractor's 'here Comes The Money Truck' Promise To Sub May Have Formed New Contract

Monday, January 18, 2010 06:59 am


Verbal Contract - Unjust Enrichment

., LLC, 641 Utah Adv. Rep. 14 (Oct. 22, 2009)

A heater manufacturer can try its unjust enrichment case against a contractor who verbally promised to pay for a second heater after the first one failed. For a U.S. Department of Energy environmental cleanup project at the Molten Salt Reactor Experiment, general contractor Bechtel Jacobs Company (Bechtel Jacobs) had to make a Salt Melting and Processing Probe System. It hired a subcontractor to build the system, and that firm in turn hired Diversified Control Systems, Inc. (Diversified Control) to build the necessary heaters for the system. Diversified Control entered into a purchase agreement with E & M Sales West, Inc., doing business as Heatsource (Heatsource), to make a five-zone h [...]

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