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Contracts Keyed to Burton
McCloskey & Co. v. Minweld Steel Co.
Citation:
220 F.2d 101Facts
McCloskey & Company (hereinafter “McCloskey”) (plaintiff-appellant) was the general contractor for the construction of two buildings on the grounds of a state hospital. McCloskey enlisted Minweld Steel Company (hereinafter “Minweld”) (defendant-appellee) to serve as a subcontractor on the project. Minweld agreed to furnish and erect all the structural steel for the two buildings under three contracts with McCloskey. On June 8, McCloskey wrote to Minweld to inquire about when it could expect the delivery of the steel and also the estimated time that Minweld would need to complete erection. On June 13, Minweld submitted an estimated schedule and date of completion. On July 20, McCloskey wrote to Minweld and threatened to terminate the contracts unless Minweld gave assurances that it had made arrangements for the procurement, fabrication, and delivery of the required materials within thirty days. On July 24, Minweld wrote to McCloskey and explained its difficulty in obtaining the steel and asked for help. McCloskey sued Minweld, alleging that Minweld’s last letter was notice of its intention not to perform the contracts.
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