B. L. Metcalf General Contractor, Inc. v. Earl Erne, Inc.

MONROE, J. pro tem. *

InMarch of 1959 the petitioner, as a general contractor, entered into a contract for the construction of the Pacoima Memorial Lutheran Hospital and thereafter, under date of March 23, 1959, entered into a subcontract with defendant whereby the latter undertook to furnish labor and materials for the plumbing, heating, ventilating, and fire protection system for the agreed price of $374,-970. This agreement contained the following provisions:

I ‘ Seventh: If, in the opinion of the Contractor or the Owner’s representative or the Architect, the Subcontractor fails to perform…