Curran v. Philadelphia

Citations

• 264 Pa. 111
• 107 A. 636
• 1919 Pa. LEXIS 603

Syllabus

<p>Municipalities — Municipal contracts — Street cleaning — Arbitration clause — Repugnant provisions — Mutuality.</p> <p>1. Where a municipal contract for street cleaning shows on its face that it was clearly intended to be an arbitration agreement, and the city sets up an award of the director of public works, the arbitrator, as a defense in a suit on the contract, a provision at the conclusion of the written contract that the city shall not be bound by the certificate of any officer of the city, will not be considered, and the contract will be read as though the clause were absent. Inasmuch as the clause is repugnant to the paramount intention of the parties as to arbitration, it must give way.</p> <p>2. In such a case, were the city itself to invoke the repugnant clause, as a defense, to .an award, it would not be sustained, hence the contract may and should be read as though the clause were absent, and, when so viewed, the lack of mutuality in the submission is only apparent, not real.</p> <p>Municipalities — Municipal contracts — Liquidated damages— Penalties — Contracts—Arbitration.</p> <p>3. Where a municipal contract for street cleaning provides that the “engineer” is to determine all questions in relation to the work, and the “Director of Public Works” shall deduct certain specified amounts for defaults, such as neglect to uniform street cleaners, failure to operate machines strictly in accord with the specifications, absence of employees, and such like provisions, and as to these matters the decision of the director shall be final, such deductions by the director are liquidated damages, and not in the nature of penalties.</p> <p>4. Liquidated damages may be provided for in every instance where, from the character of the work to be performed, it is manifestly impossible or most difficult, to measure the damages, particularly for defined anticipated defaults, which may be classified as possibly harmful.</p> <p>Municipalities — Municipal contracts — Street c