United States v. Rice - 317 U.S. 61 (1942)
U.S. Supreme Court
United States v. Rice, 317 U.S. 61 (1942)
United States v. Rice
Argued October 22, 1942
Decided November 9, 1942
317 U.S. 61
Under a Government contract for the installation of equipment in a building, the contractor agreed to complete the work within the time allowed under another contract, with another contractor, for the construction of the building. The building contract provided for completion within 250 days after notice, but permitted changes in the specifications to be made in the event of discovery of subsurface conditions materially different from those shown in the drawings or indicated in the specifications. Shortly after notice to begin had been given, work under the building contract was suspended pending the making of such a permitted change.
1. A delay resulting from such a permitted change did not constitute a breach by the Government of the equipment contract. P. 317 U. S. 64.
The Government was not bound to have the building ready for the work of the equipment contractor at a particular time.
2. The equipment contractor was not entitled to recover consequential damages for delay thus resulting; for such a delay, extension of the time for completion was an "equitable adjustment" under the contract. P. 317 U. S. 66.
95 Ct.Cls. 84, reversed.