Opinion

Ellis Construction, INC. v. Town of Famingdale

Court
Superior Court of Maine
Filed
Apr 12, 2018
Status
Unpublished
On the bench
William R. Stokes
Cited by
0 cases
Authority
More cited than 34.2%

The opinion

STATE OF MAINE SUPERIOR COURT

KENNEBEC, SS Civil Action

Docket No. CV-16-009

ELLIS CONSTRUCTION, INC.,

Plaintiff

DECISION AND JUDGMENT

V.

TOWN OF FAMINGDALE

Defendant

INTRODUCTION

This matter is before the court for decision following a one-day nonjury trial

held on January 9, 2018. In lieu of oral argument after the close of the evidence, the

parties submitted written post-trial briefs, the last of which was received by the court

on January 26, 2018.

The Plaintiff, Ellis Construction, Inc., commenced this action on January 8,

2016 with the filing of a four-count complaint against the Defendant Town of

Farmingdale. On September 21, 2016, the Plaintiff filed its First Amend Complaint

in which it added a fifth count. 1 As amended, the complaint alleges that the

Defendant breached its contract with Ellis Construction to perform Sewer,

Inspection and Maintenance for the Town in 2015-2016 (Count I). The complaint

also seeks recovery under theories of unjust enrichment (Count II) and quantum

meruit (Count Ill). Count IV asserts a violation of the Freedom of Access Act

(FOAA) by virtue of an allegedly unauthorized executive session by the

Farmingdale Select Board. Finally, the Plaintiff seeks remedies under the Maine

Prompt Payment Act - 10 M.R.S. § 1111 et seq. - (Count V).

1

The Plaintiff's Motion to Amend was granted without objection on September 16, 2016.

1

Trial was held on January 9, 2018, at which the court received the testimony

of the following witnesses called by the Plaintiff: Angenette (Angie) Ellis;

Christopher Ellis; Jim Grant, and; Nancy Frost. The Defendant called Benjamin

Sanborn and Rose Webster. Joint Exhibits 1-24, Plaintiff's Exhibits 25-26 and

Defendant's Exhibits 28-30 were admitted into evidence. 2

Based on the evidence presented at trial, and after consideration of the parties'

post-trial written arguments, the court makes the following findings of fact.

FINDINGS OF FACT

In December 2009 Ellis Construction and the Town entered into a "Sewer

Inspection, Repair & Maintenance Contract" for a one-year period "to be

automatically extended for a total of three years unless sooner terminated . . ." (Jt.

Ex. 2). That contract would have expired on December 31, 2013, except that in July

of that year the parties entered into a new agreement to run from July 1 to June 30

for one-year "with the Town option to renew annually up to three (3) years, unless

sooner terminated ...." (Jt. Ex. 1).

Under both the 2009 and 2013 contracts, the Farmingdale Sewer Committee

acted in an advisory capacity to the Select Board and was the designated entity to

"interface with the Contractor [Ellis Construction] for appropriate and timely work

activities ...." Moreover, a member of the Select Board acted as the Board liaison

with the Sewer Committee. The court finds that in 2014 the contract was renewed

without any formal or official action of the Select Board, except by way of

authorizing the payment of the first install!llent of the contract, thereby essentially

exercising the option to renew.

The 2013 contract (Jt. Ex. 1) provided:

2

Plaintiffs Exhibit 27 was marked and used solely for illustrative purpose~.

2

The Town and the Contractor may amend the contract only if all parties

reach agreement upon the revised terms. In the event the parties cannot

reach agreement on the terms of the renewal, the contract shall

terminate at the end of the calendar year, as provided above. At any

time while this contract remains in effect, the Town and the Contractor

may enter into negotiations to revise the scope of work and the labor

and equipment rates, if necessary. Nothing in this contract shall be

interpreted to create an expectation of a continuing or ongoing business

relationship between the Town and the Contractor.

The 2013 contract separately identified the duties of the Plaintiff as

"Inspection and Maintenance," and "Repair." See ii 4 & 5. With respect to the

maintenance portion of the contract, the Town was to pay Ellis a total of $3,300 in

three installments, to wit, July 1, December 31 and June 30. See i 6. Any repair

work "would be completed at the rates specified by the Contractor in this proposal ."

i 5(a). It is the court's understanding that the Sewer Committee and the designated

Plumbing Inspector would "interface" with the Contractor (Ellis) to request that

work be done if needed, and to assess whether Ellis' work performance was

satisfactory. ii 6 & 8. The Plaintiff, through the testimony of Angie Ellis, estimated

that, on average, it was paid $22,000 - $25 ,000 per year for extra work it was

requested to perform by the Town. The court finds that this "extra" work was not

guaranteed under the contract and would only be performed and paid for if requested

by the Town.

In February 2015 an issue developed that involved an invoice from Ellis

Construction that had been approved by the Sewer Committee and the Plumbing

Inspector, but not yet approved for payment by the Select Board. The issue was

brought up at the Sewer Committee's meeting of February 19, 2015, and a discussion

3

ensued about Jim Grant, the Select Board liaison to the Committee. An individual

present at the meeting questioned whether Mr. Grant was communicating well with

contractors for the Town, including Ellis Construction and whether he should cease

serving as Board liaison. Mr. Grant made it clear that he had no intention of stepping

down as liaison and maintained that he had a good relationship with the Committee.

Another member of the Select Board was also present at the meeting and remarked

that it was she who had raised questions about the Ellis Construction invoice as well

as other bills submitted by vendors doing business with the Town. 3 Towards the end

of the meeting, there was a reference to the contract between the Town and Ellis

Construction and whether all Committee members had a copy of it. Chris Ellis of

Ellis Construction was present at this meeting and answered questions about the

mv01ce.

The issue of the invoice submitted by the Plaintiff was again brought up at the

Sewer Committee meeting of March 19, 2015. 4 Mr. Grant and Nancy Frost were

also at this meeting, as was Chris Ellis who tried to answer the questions from the

Select Board members.

At the May 21, 2015 meeting of the Sewer Committee Angie Ellis was present

as was Jim Grant, Board liaison. Mr. Grant "handed out a draft of the Sewer

Maintenance Contract to the Sewer Committee." A copy of the draft was also given

to Angie Ellis. The minutes of the May 21, 2015 meeting reflect the following: "By

giving Angie Ellis a copy of the contract it is agreed that negations [sic] 5 have started

between the Town of Farmingdale and Ellis Construction." A motion was

3

The minutes of the February 19, 2015 Sewer Committee meeting identified "Nancy" as Nancy Grant. The court

believes that the Nancy referred to in the minutes was actually Nancy Frost, a Select Board member who testified

at trial.

4

The invoice in question apparently pertained to the cleaning of the "meter pit."

5

The court treats this as an obvious typographical error, which should read: "negotiations."

4

unanimously passed that the draft copy of the contract was provided to Ellis

Construction "in anticipation of negotiations and renewal and changes."

In an e-mail dated June 4, 2015, Angie Ellis wrote to the secretary of the

Sewer Committee that "Chris [Ellis] has reviewed the draft and is agreeable to the

changes." That e-mail was forwarded to all members of the Sewer Committee as

well as to Select Board members Grant and Frost. 6

At the June 18, 2015 Sewer Committee meeting, all three Select Board

members were in attendance. Angie Ellis, on behalf of Ellis Construction, was also

there. The minutes of that meeting reflect that there was extensive discussion about

the draft Sewer Maintenance contract. It is clear from the minutes, however, that a

final version of the contract was not ready and additional edits to the contract were

being or might be considered and would have to be reviewed and found acceptable

to the Select Board and Ellis Construction. No formal vote was taken on the matter,

but at the end of the discussion the minutes read as follows:

Ben [Sanborn, Acting Chair] stated that after reviewing the contract and

making changes to send to the Select Board and have the Select Board

send out to Ellis and see if Ellis is agreeable to the changes, and if there

are no changes after reviewing the contract then we would recommend

that the Select Board go ahead and renew the contract with Ellis

Construction for the final year. Jim [Grant] will send out a draft of the

Sewer Maintenance contract no later than tomorrow to all members for

their review and any recommended changes.

6

Apparently, when the draft contract was provided to Angie Ellis at the Sewer Committee meeting on May 21,

2015, a deadline of June 5, 2015 was imposed for Ellis Construction to respond.

5

At this meeting of the Sewer Committee there was also further discussion about the

bill from Ellis Construction pertaining to the cleaning of the "meter pit," and why

certain equipment and the number of employees were needed for that particular job.

At the June 24, 2015 meeting of the Farmingdale Select Board, the issue of

the unpaid invoice from Ellis Construction relating to the cleaning of the "meter pit"

was again discussed. The Board voted unanimously to seek legal advice from

counsel as to whether the bill should be paid.7

There was evidence presented at trial that the Select Board requested Ellis

Construction, or its representative, to be present at the Select Board meeting of July

8, 2015 to discuss issues relating to the Sewer Maintenance contract. How this

request was made is unclear to the court. The minutes of the June 24, 2015 Select

Board meeting do not mention such a request, and there was no documentation

submitted to the court that a request for attendance at the July 8 meeting was

forwarded to Ellis Construction. Nevertheless, that such a request was made by the

Select Board and received by Ellis Construction is made clear by the letter dated

July 8, 2015 to the Select Board from Angie Ellis. (Jt. Ex. 13).

Ms. Ellis started her letter by noting that it was "in response to the notification

dated June 26, 2015 requesting the presence of Ellis Construction at the July 8.. select

board meeting to discuss the sewer maintenance contract." She then informed the

Select Board that "Ellis Construction will not be attending the meeting as it is

unnecessary." Ms. Ellis described a meeting with the Select Board as being

"superfluous" since the sewer contract was extensively discussed at the Sewer

Committee meeting and had been "approved" at that time (apparently referring to

the June 18, 2015 Sewer Committee meeting). She informed the Select Board that

7

The issue about this invoice appears to center on whether it included charges for "training" and other items not

permitted by the contract to be charged to the Town such as OSHA certification.

6

it "lacks the expertise to meaningfully discuss issues related to sewer maintenance

and safety ...." She requested that if a meeting was still deemed necessary by the

Board, it should send in writing and by certified mail "an explanation as to the nature

and purpose of the meeting, which will be reviewed by our attorney." Ms. Ellis

asserted that the "select board has a history of targeting our company and questioning

contracts, invoices, business and safety practices which is creating a hostile working

environment." She also questioned whether Ellis Construction was being treated

fairly and equitably by the Town, "especially as our invoices and practices are

discussed at public meetings." Finally, Ms. Ellis informed the Select Board that

Ellis Construction's "past practice" had been to clean the five pump stations during

the week of July 4th, but it was only able to clean three of the pump stations due to

a lack of hydrogen peroxide, "so the town will need to order more."

At the Select Board meeting of July 8, 2015, the letter from Ms. Ellis was

noted in the minutes. The discussion at the meeting, according to the minutes,

centered on sending a letter to Ellis Construction making it clear that "all costs

associated with training and safety necessary to comply with OSHA shall be

provided by the contractor at no cost to the Town," and the letter should be reviewed

and sent "before the Contract is signed."

In the meantime, sometime during the first week of July 2015, Ellis

Construction performed work that included cleaning out the pump stations. Only

three of the stations could be cleaned before Ellis Construction ran out of hydrogen

peroxide. Chris Ellis notified the secretary of the Sewer Committee on July 7, 2015

that more hydrogen peroxide needed to be ordered, and the Chair of the Committee

immediately directed the secretary to place the order. (Jt. Ex. 12). On July 8, 2015,

Ellis Construction submitted an invoice in the amount of $1,100 for the "First

installment of sewer maintenance contract." (Jt. Ex. 24). That invoice was re­

submitted numerous times but has never been paid.

7

At the Sewer Committee meeting of July 16, 2015, the status of the Sewer

Maintenance Contract was discussed by the Chair (Ben Sanborn) who stated his

understanding that the matter was at the Select Board but no vote had been taken.

The minutes of the Select Board meeting of August 5, 2015 reflect that "[a]

letter to Ellis construction [sic] regarding an issue on payment structure with OSHA

training was signed and will be sent with the amended contract to them by Certified

mail and regular mail." An undated letter to Ellis Construction was signed by all

three members of the Farmingdale Select Board. (Jt. Ex. 15). The court finds that

this letter, with a proposed amended sewer maintenance contract, was sent to Ellis

Construction on August 6, 2015 and received on August 8, 2015. (Jt. Exs. 16 & 17).

The letter (Jt. Ex. 15) states:

Enclosed is a copy of the proposed 2015 sewer maintenance contract.

If you wish to continue with the third and final year of the contract

please sign and return it to the Town Office.

The letter elaborated on the requirement that costs associated with training and safety

measures necessary to comply with OSHA would not be approved for payment.

The version of the draft contract sent to Ellis Construction on August 6, 2015

apparently contained a provision that was highly objectionable to Ellis

Construction. 8 The minutes of the August 19, 2015 Select Board meeting make

reference to the Town's attorney and the attorney for Ellis Construction reviewing

the contract, and the Sewer Committee Chair (Ben Sanborn) planning to speak with

the Town attorney regarding "some language issues that have been questioned in the

contract." The minutes of that meeting also include some comments by at least one

8

A copy of this proposed contract was not offered or admitted into evidence at the trial.

8

Board member questioning whether the sewer maintenance contract should be

renewed.

The next day, August 20, 2015, the Sewer Committee met and the status of

the sewer maintenance contract was brought up. As reflected in the minutes, there

was considerable discussion about a new provision in the latest version of the

proposed contract that was viewed as violating Maine's Prompt Payment Law.

Ultimately, the Committee voted unanimously to strike the offending language in

the proposed contract.

In the meantime, in an e-mail dated August 18, 2015 and sent to the members

of the Select Board, the Town's attorney "strongly" recommended that the offending

language in §6(a) of the proposed contract be removed. 9 (Jt. Ex. 19). The next time

the subject of the Sewer Maintenance Contract appears in the minutes of either the

Select Board or the Sewer Committee is at the September 16, 2015 Select Board

meeting. 10 The minutes read as follows:

There was a discussion on the pending Sewer Contract, it was sent to

the attorney for her review and also the contractor's attorney, it was felt

that there has been sufficient time for all to review and the Board needs

to know the status of it. Rose [Webster][Town Clerk, Treasurer and

Tax Collector] said that she and Natalie [Jackson][secretary to the

Sewer Committee] call [sic] today and was told that there will be a

representative from Ellis Construction at the Sewer Committee meeting

tomorrow evening and hopefully they will have an answer on the

contract.

9

The language in §6(a) that Ellis Construction found objectionable reads as follows: "If any discrepancies occur

with an itemized bill the contractor shall attend a Select Board meeting and discuss the bill with the Board of

Selectmen. The Farmingdale Board of Selectmen shall have the right to amend any itemized bill that has

discrepancies. The contractor agrees the Board of Selectmen make the final decision on all discrepancies." (Jt. Ex.

19).

10

The court finds that a revised contract without the offending language of section 6(a) was sent to Ellis

Construction sometime between August 20 and September 16, 2015. See Joint Exhibit 18.

9

Nancy Frost made a motion that if the Sewer Maintenance Contract is

not signed tomorrow night, that the contract will be put out to bid.

Wayne Kilgour second

Vote 3/0

The next evening, September 17, 2015, the Sewer Committee met. Ellis

Construction sent a representative to the meeting. Select Board member Nancy Frost

acted as Board liaison. The minutes reflect that Angie Ellis on behalf of Ellis

Construction had signed the Sewer Maintenance contract in front of the town clerk

earlier that day. (Jt. Ex. 4). It was expected that the Sewer Committee Chair would

sign the contract, which he subsequently did. 11 The minutes also reflect that the

contract would be sent to the Select Board for "their signature" on September 23,

2015. There was discussion about what to do with the invoice submitted by Ellis

Construction for the "First installment" on the maintenance contract that had been

submitted in July, 2015. Board liaison Nancy Frost "asked if this means the contract

starts today or does it start in July."

The minutes of the meeting of the Farmingdale Select Board for September

23, 2015 reflect the following:

Nancy Frost- the contractors and the Board need to deal civil with each

other. A letter wrote [sic] by Ellis Construction noted that they did not

like dealing directly with the Selectboard. Nancy said that we had

dragged out [sic] feet on the contract and that she had made a motion

last week that Ellis Construction had to sign the contract by the Sewer

Meeting or that it would be put back out to bid. Ellis Construction did

come in and sign the contract. Rose said that Ben Sanborn, Chairmen

of the Sewer Committee, had come in and signee d [sic] contract as

well.

JoAnn Choate spoke up and said that the committee started working on

the contract about the first of May and here it is October and we are still

11

There does not appear to have been a formal vote by the Sewer Committee recommending approval of the

revised contract with Ellis Construction. While a majority of the Sewer Committee members favored the contract,

support for it was not unanimous on the Committee. See Joint Exhibit 18.

10

going around on this. That Ellis Construction is being held to different

standards than other contractors and not performing as per the contract.

Did the Board see or review any year end sewer maintenance reports

and evaluations, have they been attending the meetings as required by

the contract. Michael St. had work done this winter with a sewer

problem and to date the contractor has not coordinated with the Road

Commissioner to repair the street and the driveway. JoAnn feels that

there are many problems and that problems are just being ignored.

JoAnn also said that she has proof that there are illegal things going on

in the Town that she had spoken to the FBI and verified what Jimi [sic]

had said regarding the taped meeting. That the Selectboard is

responsible to take care of the residents and any decisions that they take

should not be made lightly.

Jim Grant made a motion at 7:05pm to go temporarily into executive

session MRSA §405(6)(D) to discuss the contract.

Nancy Frost second

Vote 3/0

Jim Grant made a motion at 7:27pm to reopen the meeting .

Nancy Frost second

Vote 3/0

Jim Grant made a motion that after extensive conversation in the

executive session and with the new information that the Board will not

reissue the Sewer Contract that it will be going back out to bid and the

current contractors are eligible to bid on it as well.

Nancy Frost second

Vote 3/0

Following the meeting of September 23, 2015, the Select Board sent an

undated letter to Ellis Construction informing it that the Board had voted "to not

renew the Farmingdale Sewer Maintenance Contract with your company for the final

year of three (3) one (1) year contracts." (Jt. Ex. 20) The letter also informed Ellis

Construction that it could submit a proposal if it wanted to be considered "for the

next Sewer Maintenance Contract." The letter was signed by all three members of

11

the Select Board. The Sewer Maintenance Contract that was signed by Angie Ellis

on September 17, 2015 was never signed by the Select Board. In early November

2015, the Sewer Maintenance Contract was awarded to Excalibur. (Jt. Ex. 5). Ellis

Construction commenced this action on January 6, 2016.

At the trial of this matter and throughout the minutes of the Select Board

meetings in 2015 that the court has reviewed, there was reference to some type of

covert FBI investigation in Farmingdale. The references were vague and non­

specific and the court has given those references no credence whatsoever in reaching

its Decision and Judgment in this case.

DISCUSSION

A. Breach of Contract (Count I)

"[A]ny action to enforce a contract depends on the existence of the contract

itself ...." Sullivan v. Porter, 2004 ME 134, ~ 12,861 A.2d 625. "To demonstrate

that the parties had a legally binding contract, the plaintiff must establish that there

was a meeting of the minds between the parties - or 'mutual assent to be bound by

all [the] material terms' of the contract." Tobin v. Barter, 2014 ME 51, ~ 8, 89 A.3d

1088. Because the existence of a contract "intricately" involves "the conduct of the

parties" it is a question of fact. Negotiations as to the terms of a future agreement

do not constitute a contract. "Whether the parties are merely negotiating the

contract, or entering into a present contract, is purely a question of intention."

McClare v. Rocha, 2014 ME 4, ~ 20, 86 A.3d 22. The "mutual assent" of the parties

is a critical and essential component to the formation of a contract. Forbes v. Wells

Beach Casino, Inc., 307 A.2d 210,216 (Me. 1973).

The Plaintiff argues that a contract between it and the Town of Farmingdale

for the third year of the Sewer Maintenance Agreement existed as far back as June

4, 2015 when Angie Ellis wrote to the secretary of the Sewer Committee that her

12

husband (Chris) had reviewed the draft contract and was "agreeable to the changes."

The court disagrees that a contract was formed at that point in time.

It is obvious to the court from the minutes of the various meetings of the Sewer

Committee and the Select Board in May and June 2015 that the parties were still in

the negotiation stage of whether to renew the Sewer Maintenance Contract. The

Town was clearly focused on the invoice submitted by Ellis Construction that

appeared to include charges for "training" and compliance with OSHA certification.

The court finds that while Ellis Construction may have been "agreeable" to the initial

proposed contract changes, the Town through the Select Board had not assented to

exercising its option to renew the Agreement at that point. In short, the Select Board

wanted the issue of the invoice and billing practices with Ellis Construction clarified

and settled before it would agree to a contract extension. That issue was still a topic

of discussion by the Select Board at its June 24, 2015 meeting when it voted to seek

legal advice as to whether the pending invoice should be paid.

The court finds that the relationship between Ellis Construction and the Select

Board took a dramatic tum for the worse when Angie Ellis wrote her letter of July

8, 2015 and refused to attend the Select Board meeting on that date. The court has

no doubt that the Select Board was deeply offended by the tone and content of that

letter and found it to be unprofessional and disrespectful. The response of the Select

Board was to propose a change to the contract that, essentially, mandated Ellis

Construction to appear before the Board to discuss any billing discrepancies and

gave the Board the ultimate decision-making authority regarding all such

discrepancies.

Not surprisingly, Ellis Construction objected to that language and refused to

accept it. Thus, there was clearly no "meeting of the minds" or mutual assent at that

point in time (late August- early September 2015). Indeed, the court finds that just

the opposite was true. The parties were not in agreement at all on the terms of the

13

agreement or whether the Town was going to renew the contract for a third and final

year.

That brings the court to the Select Board meeting of September 16, 2015. By

this time the contract had been re-drafted and the offending language in section 6(a)

had been removed. In essence, the Board wanted to know what Ellis Construction

was doing with the proposed contract. The Board had been informed that a

representative of Ellis Construction would be attending the Sewer Committee

meeting the following night "and hopefully they will have an answer on the

contract." At that point, the Board voted "that if the Sewer Maintenance Contract is

not signed tomorrow night, that the contract will be put out to bid."

Angie Ellis did sign the contract the following day on behalf of Ellis

Construction. The issue for the court is whether the Select Board's vote on

September 16, 2015 combined with Angie Ellis' signature on the contract on

September 17, 2015 constituted "[a] mutual assent" to be bound by the contract.

The court does not interpret the Select Board's action on September 16, 2015

as being an intent or assent to be bound by the contract if Ellis Construction signed

it the next day. Rather, the court interprets the Board's action and vote to mean only

that it wanted to know for certain no later than the night of September 17, 2015

whether Ellis Construction was going to sign the contract. The Board's action on

September 16, 2015 did not mean that it had decided and intended to be bound by

the contract if Ellis Construction signed it the next day. In other words, the Board

had not manifested its assent to exercising the Town's option to renew the contract

for the third year. It was simply setting a "drop dead" date when Ellis Construction

had to make up its mind.

Accordingly, the Select Board acted within its authority on September 23,

2015 in declining to exercise the Town's option to renew the Sewer Maintenance

Contract. The Plaintiff has failed to prove the existence of a contract or a breach

14

thereof. Accordingly, judgment will be entered for the Defendant on Count I of the

Amended Complaint.

B. Unjust Enrichment (Count II)

The Plaintiff's claim for unjust enrichment is not precluded simply because

the Defendant is a municipality. Tucci v. City of Biddeford, 2005 ME 7, 1f 14, 864

A.2d 185. To prevail on a claim for unjust enrichment, however, a plaintiff must

show that: (1) it conferred a benefit on the other party; (2) the other party had

appreciation or knowledge of the benefit and; (3) the acceptance or retention of the

benefit was under such circumstances as to make it inequitable for it to retain the

benefit without payment of its value. Forrest Assocs. V. Passamaquoddy Tribe,

2000 ME 195, 1f 14. Unjust enrichment permits recovery for the value of the benefit

conferred "when, on the grounds of fairness and justice, the law compels

performance of a legal and moral duty to pay ...." Paffhausen v. Balano, 1998 ME

47, 1f 6.

The court is satisfied that the Plaintiff has established the elements of unjust

enrichment in this case. The Plaintiff performed the cleaning of the pump stations

in early July 2015 and, according to the testimony of Chris Ellis, continued to

perform work for the Town into September in anticipation that the contract would

be renewed. While the value of that benefit was not itemized in detail, the court

finds that the sum of $1,100 represents a fair value for the benefit conferred on the

Town. Judgment will be for the Plaintiff on Count II of the Amended Complaint in

the amount of $1,100.

C. Quantum Meruit (Count ill)

"To sustain a claim in quantum meruit, a plaintiff must establish that '(1)

services were rendered to the defendant by the plaintiff; (2) with the knowledge and

consent of the defendant; and (3) under circumstances that make it reasonable for

15

the plaintiff to expect payment.",i 2 Forrest Assocs. v. Passamaquoddy Tribe, 2000

ME 195, ~ 11, 760 A.2d 1041 quoting Carvel Co. v. Spencer Press, Inc. 1998 ME

74, ~ 12, 708 A.2d 1033, 1036. See also Jenkins, Inc. v. Walsh Bros., 2001 ME 98,

'115, 776 A.2d 1229. Quantum meruit describes a form of recovery for material or

services provided under an implied or quasi-contract theory of liability. The Law

Court has been "reluctant to impose quantum meruit liability on municipalities when

the services rendered were not authorized by the municipality." Forrest As socs.,

2000 ME 195, '113.

In this case, the court finds that the Plaintiff has failed to prove its entitlement

to recovery under quantum meruit. The court has found that as of July 1, 2015 the

Sewer Maintenance Contract between the Town and Ellis Construction had expired

and had not been renewed. Ellis Construction performed the cleaning of the pump

stations during the week of July 4, 2015 without the benefit of a contractual

relationship with the Town and under circumstances where it knew or should have

known that the renewal of the contract was still undecided by the Select Board.

Unlike its 2009 Sewer Maintenance Contract with the Town, the 2013 contract did

not automatically renew. Rather, Ellis Construction performed that work because it

was its past practice to do it that particular week. Ellis Construction has not shown

that it had a reasonable expectation of payment under an implied or quasi contract

theory. Indeed, the Sewer Maintenance Contract explicitly provides that it must not

be interpreted as creating any expectation of a continuing business relation between

the Town and the Contractor. Accordingly, judgment will be entered for the

Defendant on Count II of the Amended Complaint.

12

These factors are questions of fact. See Paffhausen v. Balano, 1999 ME 169, ,i 9, 740 A.2d 981.

16

D. FOAA Violation (Count IV)

The Plaintiff has alleged that the executive session of the Farmingdale Select

Board on September 23, 2015 was not permitted by 1 M.R.S. §405(6). The Plaintiff

is seeking the imposition of a fine upon the Defendant for a civil violation.13 Title

1 M.R.S. §410 provides:

For every willful violation of this subchapter, the state

government agency or local government entity whose officer or

employee committed the violation shall be liable for a civil violation

for which a forfeiture of not more than $500 may be adjudged.

A penalty for a civil violation under the Maine Freedom of Information Act

1s only enforceable by the Attorney General or some "other appropriate public

official." 17-A M.R.S. §4-B(l). See Lewiston Daily Sun v. School Admin. Dist. No.

43, 1999 ME 143,, 11,738 A.2d 1239; Scola v. Town of Sanford, 1997 ME 119,,

7,695 A.2d 1194.

Judgment will be entered for the Defendant on Count IV of the Amended

Complaint.

E. Prompt Payment Act (Count V)

Maine's Prompt Payment Statute applies to construction contracts, either

written or oral, "to perform or to supply materials for work on any real property."

10 M.R.S. §1111(2). The law requires the "owner" of real property on which work

was performed "to pay the contractor strictly in accordance with the terms of the

construction contract." 10 M.R.S. §1113(1). Penalties and attorney fees are

recoverable pursuant to and in accordance with 10 M.R.S. §1118(2). The term

"owner" includes municipalities. 10 M.R.S. §1111(6).

13

The Plaintiff has not alleged, and no evidence was presented at trial to suggest, that the Select Board took any

"official action" while in executive session on September 23, 2015 . Thus, the Plaintiff has not asked the court to

declare any action of the Select Board "null and void" in accordance with 1 M.R.S. §409(2).

17

"[T]he remedies provided by the prompt payment provisions are intended to

augment damages that are traditionally available for contract or quantum meruit

claims ...." Jenkins, Inc. v. Walsh Bros., 2001 ME 98, 1f 24, 776 A.2d 1229.

Because the prompt payment statute applies to contract or implied contract claims,

it does not, in the court's view, provide relief and its remedies are not available for

an unjust enrichment claim. The court has previously found that the Plaintiff has

not prevailed on its breach of contract and quantum meruit claims. Accordingly,

judgment will be for the Defendant on Count V of the Amended Complaint.

CONCLUSION

The entry is:

Judgment for the Defendant on Counts I, III, IV and V of the First Amended

Complaint.

Judgment for the Plaintiff on Count II of the First Amended Complaint in the

amount of $1,100.

The Clerk is directed to incorporate this Decision and Judgment into the

docket of this case by notation reference in accordance with M.R.Civ .P. 79(a).

Dated: April 12, 2018

Justice, Superior Court

18

This is a copy of a public record, reproduced as it was published. It is not legal advice, and it may not be the version a court would rely on. Check the official source before you cite it.

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