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R.G. Pope Construction Co. v. Guard Rail of Roanoke, Inc.

Virginia Supreme Court
244 S.E.2d 774 (1978)


Facts

Pope Construction Co. and Pope Paving Co. (Pope) (plaintiffs) entered into a contract with the State of Virginia to build a road. Under that contract, work on the project was to be completed by October 1973, unless the state extended the time for completion because of conditions beyond Pope’s control. Pope contracted with Guard Rail of Roanoke, Inc. (Guard Rail) (defendant) to furnish and install guardrail for the project. The price included in that subcontract was the price being offered by Guard Rail’s supplier, which was locked in until November of 1973. Pope delayed its performance, and the construction site was not ready until July 1974. In April 1974, Guard Rail notified Pope that the earlier quoted price for materials was no longer available and sought to renegotiate the price of material. Pope refused to renegotiate, and Guard Rail refused to perform. Pope hired another subcontractor to furnish and install the guardrail and sued Guard Rail for the additional amount it paid to the new subcontractor. Guard Rail counterclaimed for its lost profits on the project. The lower court entered judgment in favor of Guard Rail. Pope appealed.

Rule of Law

Issue

Holding and Reasoning (Compton, J.)

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