H. S. Crocker Co. v. County of Lake

THOMPSON, J. The plaintiff has appealed from a judgment disallowing the bulk of a claim for the balance due upon a valid contract for furniture sold and supplied for use in the courthouse of Lake County. When the contract for the furniture was awarded there 'was ample money in the “Capital Outlay Court House Fund” with which to pay the claim, but before the contract was fully performed, that fund was practically exhausted by the payment of claims which were subsequently incurred. On the assumption that plaintiff’s claim was not a liability against the county, except to the extent of the money. remaining in that fund, under the provisions of section 3714, subdivision 5, of the Political Code, the claim was disallowed to the extent of $1849.52. The balance of $7.94, which remained in the fund, was allowed. From that judgment the plaintiff appealed.

This case was tried on a written stipulation of facts concerning which there is no dispute. December 31, 1929, the plaintiff was awarded a contract to supply the County of Lake with furniture for its courthouse for the aggregate sum of $7,429.84. There was then ample money in the “Capital Outlay Court House Fund”, from which this charge was to be paid, to meet all obligations which had then been incurred against that fund. The contract was fully performed and the furniture was supplied by the plaintiff, in accordance with the terms thereof. April 19, 1930, plaintiff was paid on that account the sum of $5,572.40. This left a balance of $1857.46 due to the plaintiff on the contract. June 11, 1930, a claim for the last-mentioned sum was presented to the board of supervisors of Lake County. Subsequent to the awarding of the furniture contract to plaintiff and before its claim for the balance of $1857.46 had been presented for payment, other obligations were incurred by the county for the payment of which-the entire “Capital Outlay Court House Fund” was exhausted, except the sum of $7.94. Plaintiff’s claim was not allowed. Suit was commenced against the county to re[31]cover a judgment for the amount due on the contract. The court adopted findings in accordance with the facts above related, and thereupon rendered judgment in favor of the plaintiff for the sum of only $7.94. From this judgment the plaintiff has appealed.

It is conceded the obligation for the payment to plaintiff of the original sum of $7,429.84 for courthouse furniture was lawfully incurred by the County of Lake when there were ample funds in the treasury with which to meet the claim, and that the contract did not violate the inhibition of article XI,, section 18, of the Constitution of California. The respondent, however, asserts that under the provisions of section 3714, subdivision 5, of the Political Code, the plaintiff’s claim is not a valid liability against the county except to the extent of the balance which remained in the “Capital Outlay Court House Fund’’ at the time the plaintiff’s claim was presented, notwithstanding the fact that other claims had been incurred and paid from that fund subsequent to the awarding of plaintiff’s contract, and that plaintiff is therefore entitled to a 'judgment for only such sum as actually remained in that fund at the time the claim was presented. It is also contended that because the plaintiff was paid from that fund ten other claims aggregating the sum of $1664.22 which were incurred after the awarding of the furniture contract it may not complain of the lack of money with which to meet its original contract.