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Contracts Keyed to Barnett
Drennan v. Star Paving Co.
Citation:
51 Cal. 2d 409, 333 P.2d 757 (Cal. 1958)ProfessorMelissa A. Hale
CaseCast™ – "What you need to know"
Facts
Drennan’s bid on a school construction project was due by 8pm on July 28. On the date of the deadline, Drennan compiled a list of bids received from subcontractors on a form used by Drennan to create its own bid on the school construction project. Drennan’s bid had to include the names of subcontractors who would perform at least 0.5% of the total construction work and had provide a bidder’s bond to guarantee that Drennan would enter the subcontract if awarded the bid.
Star Paving’s bid for the paving work was $7,131.60, which was the lowest bid for the paving received. After Drennan was awarded the contract, Star Paving notified Drennan that it had made a mistake in calculating its bid and that it could not do the work for less than $15,000. Drennan then employed another company to do the paving work for $10,948.60.
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Topic Resources
Topic Outline
Formation of ContractsTopic Refresher Course
Consideration and Promissory Estoppel