Travelers Insurance v. School District No. 1

This is a companion case to Lather v. School District, ante, 90. On February 25, 1924, George E. Lather & Sons entered into a written contract with defendant, pertinent features of which are: The defendant “hereby employs the contractor to erect and complete the general construction of a school building for said school district,” at a guaranteed cost to defendant' of not more than $77,000 plus the contractor’s fixed fee of $8,000, with 25% of the saving if the cost be less; the contractor1 was to purchase all materials and supplies at the best prices obtainable, the cost to be paid by…