Earl L. Reamer Co. v. City of Swartz Creek

Plaintiff Earl L. Reamer Company sought to recover $350,000 representing the difference between its bid price and the actual cost of constructing a sewage system for defendant City of Swartz Creek. Reamer alleged that the plans and specifications upon which it based its bid did not disclose the existence of underground structures known to the city and its agents, that plaintiff was put to much greater expense because of such structures, and that the city’s engineer, third-party defendant Carlson, negligently failed to disclose the existence of the structures in preparing the bid plans and…