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K & G Construction Co. v. Harris
Court of Appeals of Maryland
164 A.2d 451 (1960)
K & G Construction Co. (K & G) (plaintiff) was a contractor for a housing-construction project. Harris and Brooks (defendants) owned an excavation company that was K & G’s excavation subcontractor. The parties agreed that the excavation company would perform work in a workmanlike manner. They also agreed that K & G would make installment payments monthly for the excavation work. In the course of the project the excavation company caused the collapse of a wall of the building and other damage. K & G withheld the installment payment due because the damage had not been repaired or paid for, and the excavation company discontinued work. K & G sued the excavation company for the cost of repairing the damage and for the additional cost of hiring another excavator to complete the work. The excavation company countersued, seeking damages for lost profits and to recover payment for work performed. The court found the excavation company liable for the repair cost but ruled in favor of the excavation company on its counterclaim. K & G appealed the judgment for the excavation company.
Rule of Law
Holding and Reasoning (Prescott, J.)
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