Opinion

Board of Education v. Hatzel & Buehler, Inc.

  • 156 A.D.2d 684
  • 549 N.Y.S.2d 447
  • 1989 N.Y. App. Div. LEXIS 16424
Court
Appellate Division of the Supreme Court of the State of New York
Filed
Dec 26, 1989
Status
Published
Cited by
5 cases
Authority
More cited than 72.9%

where architect’s provision was augmented by one providing: “any claim, dispute, or other matter in question between the Contractor and the Owner referred to the Architect shall be subject to arbitration,” submission of claim to architect was condition precedent to arbitration, which contractor failed to fulfill when it initiated request for arbitration without ever submitting claims to architect

How later courts described this case

  • where architect’s provision was augmented by one providing: “any claim, dispute, or other matter in question between the Contractor and the Owner referred to the Architect shall be subject to arbitration,” submission of claim to architect was condition precedent to arbitration, which contractor failed to fulfill when it initiated request for arbitration without ever submitting claims to architect

Written by the judges who cited it.

The opinion

In a proceeding pursuant to CPLR 7503 (b) to stay arbitration, the appeal is from a judgment of the Supreme Court, Suffolk County (Leis, J.), entered February 17, 1989, which granted the application.

Ordered that the judgment is affirmed, with costs.

In March 1985 Hatzel & Buehler, Inc., an electrical contractor, entered into a contract with the petitioner to perform electrical work in a new high school. Article 2.2.9 of the contract provided that any claims, disputes and other matters in question between the contractor and the owner relating to *685 the execution or progress of the work or the interpretation of the contract documents would be referred initially to the architect for decision to be rendered in writing within a reasonable time. In addition, the contract also provided that "[a]ny claim, dispute or other matter in question between the Contractor and the Owner referred to the Architect * * * shall be subject to arbitration”. Prior to the completion of the project, the appellant submitted a notice of claim to the petitioner, and subsequently a demand for arbitration, seeking damages "for the recovery of additional costs incurred as a result of delays to claimant’s work”. However, at no time did it refer its claim to the project architect.

We agree with the Supreme Court that the appellant’s claim, which was asserted prior to the substantial completion of the work, was a claim relating to the execution or progress of the work within the meaning of article 2.2.9 of the contract. Pursuant to the clear terms of the contract, the appellant was required to first submit its claim to the architect as a condition precedent to arbitration. Since it failed to do so, the Supreme Court properly stayed arbitration.

We reject the appellant’s contention that the service of the notice of claim constituted sufficient compliance with article 2.2.9 of the contract. The purpose of the notice was only to preserve whatever legal rights the appellant may have had in a court of law (Education Law § 3813), rather than to commence the review process with the project architect. In any event, there is no evidence in the record to show that the appellant ever submitted a copy of the notice of claim to the architect. Thompson, J. P., Lawrence, Eiber and Balletta, JJ., concur.

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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