Opinion ID: 267450
Heading Depth: 1
Heading Rank: 8

Heading: B. M. Jinks.

Text: 81 B. M. Jinks was a subcontractor whose duty it was to perform various portions of the work incident to the housing project. His work included excavation work and grading and filling. 210 F.Supp. at 520. 82 The district court found that the prime contractor breached the subcontract with Jinks by its failure: to prepare the site to receive the work of Jinks; to provide the necessary engineering to Jinks at the time and place needed; and to furnish fill material at the time and in the quantities needed. 210 F.Supp. at 522. 83 The prime contractor contends that testimony of Jinks establishes the difficulties created in his performance were attributable to the Air Force and the off-site contractor and therefore these difficulties cannot be charged to the prime contractor. However, we note that the district court stated that all parties agreed 84 that the prime contractor had the duty to prepare the site to receive the work of the subcontractor; to properly coordinate the work of the various subcontractors; to provide competent and adequate supervision of the overall project; to furnish materials necessary in sufficient quantities and to schedule deliveries so as to enable the subs to proceed with their work in an orderly manner. 210 F.Supp. at 502. 85 This stipulation is not contested by the prime contractor. 86 The prime contractor terminated Jinks subcontract pursuant to Article XXIV of the subcontract. The termination notice read: 87 Due to your evident lack of interest and lack of application of your time and energies to the completion of this job, we are invoking Article 24 of your contract. Under the terms of the aforementioned article, we are giving you 48 hours' notice that we are taking over your contract and turning it over to the bonding company for completion. 210 F.Supp. at 521. 88 The district court found that this termination was arbitrary and without cause or justification, and constituted a breach of contract. 210 F.Supp. at 522. We are in accord with the district court. We note that if Jinks was guilty of a lack of interest and lack of application of time and energy to the completion of the work under the subcontract, it was due to the failure of the prime contractor to prepare the site, to furnish material and to engineer fully the site. 89 The prime contractor contends that the testimony of Jinks establishes full acquiescence with the termination. No citation to the record is made in support of this contention. Furthermore, we note that the district court found that the termination notice barred Jinks from coming on the project and when he did come on the job to get material he was arrested and taken into custody. See 210 F.Supp. at 521. 90 Having found that Jinks had failed to prove the amounts of profits lost, the district court restricted his recovery to an amount equal to the remainder after subtracting the amount received by him for the total of his expenditures attributable directly to the subcontract. 210 F. Supp. at 522. 91 The district court found that there was an amount of $47,896.79 chargeable as expenditures. However, the court found that charges of $775, $516.50 and $1,000 appearing on the adding machine tape in evidence were not supported by checks or bills and that cash disbursements totaling $1,330.29 were not properly attributable to this subcontract. These amounts were deducted, leaving a total of $44,275.35 in expenses. The court found that the prime contractor had paid Jinks $30,400.99 and that plaintiff was entitled to the difference which was $13,874.36. 92 Jinks contends that he is entitled to recover the sum of $9,300 for his lost profit on the job. However, after examining those portions of the record [Record, pp. 496, 502, 715, 758, 1978] cited to us, we are in accord with the district court's conclusion that Jinks has failed in his burden to prove lost profits. As we stated earlier, the contemplated profit must be proved to be reasonably certain and not merely conjectural or speculative. Text p. 742, supra. 93 Mr. Jinks contends that the amount of his expenses total $50,396.79 instead of the $47,896.79 as found by the district court before deductions. The $2,500 difference he argues is attributable to a bill owed to Berry Brothers Equipment Company, Appendix 329 (Plaintiffs' Exhibit 329), which the district court inadvertently omitted from its tabulation of expenditures. Jinks' theory is that the court acknowledged the $2,500 as a legitimate expense. Actually the court only said that the remark I made a moment ago may not be true    he may be entitled to recover that amount.    Record, p. 713; see Record, pp. 710-13. In light of the fact that the prime contractor has not specifically challenged this contention, we are inclined to include that amount. However, we think the better practice is to remand to the district court for a determination of whether or not the Berry bill was inadvertently omitted as an expenditure. 94 Jinks also contends that the three deductions made from the $47,896.79 figure because they were not supported by checks or bills has no support anywhere in the Record. However, instead of bringing forth bills or checks to support the three deductions, he contends that it wasn't represented that there was a check for every item on the adding machine tape and nowhere in the Record is there any of the amounts shown on the tape questioned. We do not think that the district court acted incorrectly in refusing to accept figures on an adding machine tape which were unsupported by corresponding checks or bills. 95 Jinks further urges that the $1,330.29 deduction has no support in the Record anywhere (except in a Trial Brief filed by defendants). The reason given for this deduction was that it was not properly attributable to an expenditure for this subcontract. See 210 F. Supp. at 523. The prime contractor does not challenge the contention that this deduction has no support in the record. Therefore, we conclude that this finding by the district court is clearly erroneous. 29 96 The district court found that pursuant to the prime contractor's termination notice it took possession of four major pieces of equipment belonging to Jinks. See 210 F.Supp. at 523. The court found that this equipment was damaged in the amount of $2,000 through neglect and misuse over and above normal wear and tear during the five-month period it was retained by the prime contractor. See 210 F.Supp. at 524. The court denied any additional recovery for rental value of this equipment, noting that it would require more persuasive evidence of rental values than those offered by the plaintiff. 97 The prime contractor contends that there is no right for Jinks to recover for the use of his equipment. Brief for Appellant (Williams and Dunlap), p. 13. He states that except for normal weathering and normal wear and tear, Jinks got his equipment back in as good condition as it was when he left it. See Post-argument Brief for Williams and Dunlap, p. 72. These statements are unsupported by the record or by authority. 98 Jinks contends that he is entitled to $14,100 for equipment rental and $15,600 for depreciation over and above normal wear and tear. 99 The only testimony as to the depreciation value or rental value of his equipment was Mr. Jinks' testimony. Brief for Subcontractors, pp. 278-83. We do not think that the district court was required to accept this testimony of the plaintiff at face value. Therefore, we are in accord with the district court's finding of damages in the amount of $2,000 and that Mr. Jinks had failed in his proof of rental value. We note that expert testimony is appropriate for proving the rental value of machinery. See Corbin, Contracts § 1094, at 513 (1964 ed.). 100 Jinks also contends that the amount paid to him by the prime contractor was $25,364.09, instead of $30,400.99 as found by the district court. However, we find no citation to the record which would support such a contention. 101 The judgment of the district court as to subcontractor Jinks is therefore reversed and remanded. 102