Rex Roofing formed a contract with the ONeills for installation of a new roof on their house. The price of the contract was $2500. subsequently the take a leak had begun, Rex realized that he was not charging enough for the project and informed the ONeills that he could not complete it. The ONeills agreed to knuckle under a higher price of $3200. We will, through the analysis of antecedent case precedents, state our opinions as to whether it was ethical for Rex to refuse to do the job at the original price, and if the ONeills are ethically compel to pay more than the original contracted price.
Case Precedent #1
Drennan v. spark advance pavement material Co., 51 Cal. 2d 409
[L. A. No. 25024. In Bank. Dec. 31, 1958.]
William Drennan, plaintiff, a licensed general contractor, submitted a bid on the three-card monte Vista School Job for a paving job. onward Drennan could submit the bid, Drennan asked for bids from subcontractors to do the paving work. Of all of the subcontractors who submitted bids, paladin Paving Co. came in with the lowest bid. jumper cable Paving Co. bid the paving job at $7,131.60. Mrs. Johnson, Drennans secretary, repeated the bid to make accredited that the bid amount was correct and was confirmed by Mr. Oppenheimer who was Star Paving Co.s construction engineer.
Drennan compiled his costs, $317, 385.00 including Star Paving Cos bid on his proposal to Monte Vista School. Drennan told Star Paving Co that if awarded the project, they would be awarded the subcontract. On July 28, 1955, Drennan was awarded the project. The next morning, Drennan stopped by Star Paving Co. and found out that the bid amount was a mistake and the job had to be done at $15,000. Drennan told the subcontractor that the work had to be done...
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