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Contracts Keyed to Templin
Drennan v. Star Paving Co.
Citation:
51 Cal. 2d 409 (1958)Facts
Drennan (plaintiff), a general contractor, was soliciting bids from subcontractors to perform paving work for an upcoming bid he was placing for a school construction project. Star Paving Co. (defendant) submitted the lowest bid of $7,131.60 to the plaintiff. The plaintiff used this number to compute his own bid and was awarded the school construction project. The plaintiff informed the defendant that they had been awarded the contract, and the defendant then informed the plaintiff that it had made a mistake and the cost of the paving work would actually be $15,000. The plaintiff refused to pay this amount and instead, after months of searching, found a new subcontractor who agreed to do the paving work for $10,948.60. The plaintiff then sued the defendant to recover damages caused by the defendant’s refusal to do the paving work for the agreed upon price.
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