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UNITED STATES EX REL. PAR-LOCK APPLIERS OF NEW JER

DISTRICT COURT, E.D. PENNSYLVANIA


March 12, 1943

UNITED STATES to Use of PAR-LOCK APPLIERS OF NEW JERSEY, Inc.,
v.
J.A.J. CONST. CO., Inc., et al.

The opinion of the court was delivered by: KALODNER

KALODNER, District Judge.

Upon consideration of the bill of complaint and the answers thereto, and after hearing the testimony of witnesses and argument of counsel, I make the following

Findings of Fact.

 1. On April 3, 1939, J.A.J. Construction Co., Inc. (hereinafter called the contractor) entered into an agreement with the United States of America for the erection and construction at Philadelphia, Pennsylvania, of the public improvement designated as "Philadelphia Defense Housing Project Pa-36011."

 2. Pursuant to the requirements of the Act of Congress of August 24, 1935, chapter 642, 49 Stat. 793, 40 U.S.C.A. ยง 270a, the contractor as principal, and the American Surety Company of New York as surety, made, executed and delivered to the United States in connection with the contract referred to above, their certain performance bond, and in addition thereto a payment bond on United States standard form No. 25-A approved September 16, 1935, in the penal sum of $738,000.00, conditioned for the payment of labor and material bills incurred in the prosecution of said public work.

 3. On April 21, 1941, the contractor entered into agreements in writing with John W. Lewis, of Philadelphia, Pennsylvania, for the performance of the plumbing, heating and other work required in and about the construction of the public improvement referred to in Finding (1).

 4. On April 21, 1941, at Philadelphia, Pa., Par-Lock Appliers of New Jersey, Inc. (hereinafter called Par-Lock) entered into an agreement with the said Lewis to furnish and install galvanized ducts and other labor and material at said housing project for the price or sum of $39,000.00. It is undisputed that later the agreement was amended to include extras of $1,629.89, making the total $40,629.89.

 5. On May 12, 1941, Lewis authorized the contractor to set aside and guarantee payment to Par-Lock the sum of $39,000.00 by the following letter:

 "May 12, 1941

 "J.A.J. Construction Co., Inc.

 "270 41st Street

 "Brooklyn, N.Y.

 "Gentlemen:

 "We hereby authorize you to set aside and guarantee payment to Parlock Appliers of New Jersey, Inc., 21 Muirheid Ave., Trenton, N.J., for the sum of Thirty Nine Thousand Dollars ($39,000.00).

 "Very truly yours,

 "John W. Lewis."

 6. The said authorization was given with the knowledge and consent of the use-plaintiff Par-Lock.

 7. The aforesaid authorization was requested by the contractor from Lewis, and was accepted by the contractor, which obligated itself to make payment to Par-Lock of the sum set forth in the authorization. It is undisputed that subsequently the authorization was extended to include the extras of $1,629.89.

 8. Par-Lock furnished to said housing project under its aforesaid agreement with Lewis, and as extras required under Lewis' agreements with the contractor, labor and material aggregating $40,629.89. 9. The contractor, acting in conformity with the authorization, made payments direct to Par-Lock as follows: On or about Amount July 25, 1941 $ 9,652.00 August 29, 1941 18,455.40 October 1, 1941 6,616.60 Total $ 34,724.00

19430312

© 1992-2004 VersusLaw Inc.



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