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Flooring Systems, Inc. v. Radisson Group, Inc.

Supreme Court of Arizona
772 P.2d 578 (1989)

Facts

Flooring Systems, Inc. (Flooring) (plaintiff) submitted a bid for carpet installation on a Radisson Group, Inc. (Radisson) (defendant) property to Radisson’s agent, CSA, Inc. (CSA) (defendant). CSA accepted the bid, and Flooring entered a subcontract with Radisson’s general contractor. Flooring completed installation of carpet worth $59,000 but was never paid. On that ground, Radisson withheld $25,000 from the general contractor due to outstanding debts, as allowed by the contract. Flooring filed suit against Radisson, CSA, and the general contractor on claims of breach of contract and unjust enrichment. The general contractor filed bankruptcy and was dismissed from the suit. Summary judgment was entered in favor of the defendants on the ground that Flooring’s subcontract barred the unjust enrichment claim. The court of appeals upheld the grant of summary judgment. Flooring appealed to the Supreme Court of Arizona.

Rule of Law

Issue

Holding and Reasoning (Corcoran, J.)

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