A Compilation of the Messages and Papers of the Presidents eBook

This eBook from the Gutenberg Project consists of approximately 856 pages of information about A Compilation of the Messages and Papers of the Presidents.

A Compilation of the Messages and Papers of the Presidents eBook

This eBook from the Gutenberg Project consists of approximately 856 pages of information about A Compilation of the Messages and Papers of the Presidents.

The case of Chouteau vs.  The United States, reported in Fifth Otto, page 61, which arose out of the contract to build a vessel called the Etlah, appears to present the same features that belong to the claims here considered.  It is stated in the report of the House committee on this bill that “the Squando and Nauset were identical in the original plans and the changes and alterations thereon with the Etlah and Shiloh, built in St. Louis;” and yet the Supreme Court of the United States distinctly decided in the Etlah case that the only pretext for further compensation should be sought for in the contract, where the contractor had evidently been content to provide for all the remedy he desired.

It seems, then, that the contractors mentioned in this bill, after entering into contracts plainly indicating that changes of plans and consequent delay in their work were in their contemplation, availed themselves of the remedy which they themselves had provided, and thereupon received about 50 per cent in the case of two of these vessels of the contract price for extra work, giving the Government a receipt in full.  When soon thereafter opportunity was offered them to make further claim of as broad a nature as they could desire, they failed to do so, and one of them disclaimed any right to recover on account of one of the vessels, though all are now included in the present bill.  In 1867 the claims were fully examined under a law of Congress and rejected, and the Supreme Court in an exactly similar case finds neither law nor equity supporting them.

If it be claimed that no compensation has been yet allowed solely for the increase in the price of labor and material caused by delay in construction, it is no hardship to say that as the contractors made provision for change of plans and delay they must be held to have taken the risk of such rise in price and be satisfied with the provision they have made against it.  Besides, much of the increase in the price of labor and material is included in the extra cost which has already been reimbursed to them.

But the bill does not provide that these contractors shall be limited in the Court of Claims to a recovery solely for loss occasioned by increase of the cost of labor and material during the delay caused by the Government.  By the terms of the proposed act the court is directed to ascertain the additional cost necessarily incurred in building the vessels by reason of any changes or alterations in the plans and specifications and delays in the prosecution of the work.  This, it seems to me, would enable these contractors to open the whole question of compensation for extra work.

It hardly seems fair to the Government to permit these claims to be presented after a lapse of twenty-three years since a settlement in full was made and receipts given, after the opportunity which has been offered for establishing further claims if they existed, and when, as a consequence of the contractor’s neglect, the Government would labor under great disadvantages in its defense.

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