Anshen & Allen v. Marin Land Co.

SHOEMAKER, J.

This is an appeal by defendant Marin Land Co., a corporation, from a judgment in favor of plaintiffs Anshen & Allen, S. Robert Anshen and Wm. Stephen Allen (hereinafter referred to as “Anshen & Allen”). Plaintiffs brought this action to recover an amount alleged due them under a contract whereby plaintiffs performed certain architectural services for defendant; joined with the contract count were several east in the form of the common count.

The facts reveal that defendant corporation proposed to construct a private club, to be known as the Harbor Point Beach Club, on land it owned at Strawberry Point in Marin County. In order to carry out this project, defendant requested 12 architects, including the plaintiffs, to serve on a panel of architects for the development. On June 27, 1956, defendant wrote to the panel of architects, informing them that one of their number would be selected to plan the architectural work for the club facilities, and that the construction of the club was to be accomplished in two phases—Phase I, consisting of a pool, a structure to house the pool machinery, snack bar, toilets, a very minimum dock arrangement, and a pitch-and-putt golf course; Phase II embodied the completion of all landscaping, enlarged dock facilities, a complete clubhouse, and other necessary buildings. The estimate for Phase I was approximately $60,000-$70,000 and as to Phase II, $100,000 plus. Architects’ fees were not to exceed 8 per cent of construction costs. It was the defendant’s intent to construct Phase I immediately with funds then in hand, whereas Phase II was to be constructed at a later date when defendant was able to obtain financing from outside sources.

Plaintiffs were thereafter selected to draw the plans for the beach club and were authorized by defendant’s letter of August 21, 1956, “to proceed on the Harbor Point Beach Club work in accordance with our letter of June 27, 1956, with architectural fee of 8%. . . . Authorization for Phase

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Two will be given as soon as finances are available, which was discussed with you at our recent conference.” Payment was to be made in accordance with procedures contained within The American Institute of Architects Form B102. This form contains the provision that the architect shall receive a payment of 25 per cent of the basic rate upon completion of the preliminary studies.