TX STATECourt of Appeals of Texas
1992

Westech Engineering, Inc. v. Clearwater Constructors, Inc.

835 S.W.2d 190Court of Appeals of Texas • Decided 1992Enforced
FLAGSHIPFlow-DownChange OrderCited 393 times

HOLDING

WesTech Engineering agreed to supply wastewater treatment equipment meeting specific contract specifications for a City of Austin project. The equipment failed to meet those specifications, and Clearwater Constructors (the general contractor) had to buy replacement equipment elsewhere. The court ruled WesTech breached the contract and must pay Clearwater's costs to cover the shortfall. This case shows that when you bid equipment for a construction project, you're making an unconditional promise to deliver exactly what the specs require—no excuses.

KEY FINDINGS

Flow-Down

When you submit a bid for equipment, you're legally bound to deliver items that meet the contract specifications. Failure to do so is breach of contract, even if your equipment was close to spec.

Change Order

If your equipment fails to meet specs, the general contractor can buy replacement equipment from someone else and charge you the difference in cost (called 'cover costs'). You'll owe that money.

FULL COURT OPINION