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STONE, SAND & GRAVEL CO. V. UNITED STATES, 234 U. S. 270 (1914)

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U.S. Supreme Court

Stone, Sand & Gravel Co. v. United States, 234 U.S. 270 (1914)

Stone, Sand & Gravel Co. v. United States

No. 302

Argued April 23, 1914

Decided June 8, 1914

234 U.S. 270

Syllabus

Where the contract contains a provision for a method of annulment and liquidated damage in case of a breach by failure to commence work and the government avails of that provision, it is only entitled to the liquidated damages and cannot recover damages for difference in cost on reletting the contract under a provision for failure to complete or abandonment after commencing the work. United States v. O'Brien, 220 U. S. 321, distinguished.

The benefit and burden of a provision in a government contract giving a right to annul in consequence of a breach by failure to commence work must hang together, and the government cannot avail of the former without accepting the latter.

195 F. 68 reversed.

The facts, which involve the liability of a contractor and its surety under a contract with the government for excavation work, are stated in the opinion. chanroblesvirtualawlibrary

Page 234 U. S. 274





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