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May 2011 Construction Law Newsletter

May 2011, vol. 1, no. 1

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In This Issue…

Related Court Cases

Bond Act
Lake County Grading Co. v. Village of Antioch
Public Construction Bond Act does not require the furnishing of a "completion bond" and a "payment bond", but the procurement of "a bond" for the public work. Once the bond is obtained, it is deemed to include both a payment and performance provision.(GARMAN, THOMAS, KILBRIDE, and KARMEIER, concurring.)

Unjust Enrichment
C. Szabo Contracting, Inc. v. Lorig Construction Company
Illinois Tollway Authority hired Defendant construction company as general contractor on I-355 project. Subcontractor, which was hired by subcontractor, sued general contractor after pipe-jacking work was complete and no payment was received. After bench trial, court properly entered judgment for subcontractor which had done pipe-jacking work. General contractor would have been unjustly enriched if permitted to retain benefit that it specifically requested at agreed price. Contract between two subcontractors is not a barrier to recovery from general contractor on quasi-contract theory, and general rule that a party must exhaust its legal remedies before pursing equitable remedy is inapplicable.(SCHOSTOK and HUDSON, concurring.)

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