Milam Construction v. Michael Johnson & Wife

Docket: 02A01-9608-CH-00185

Court: Court of Appeals of Tennessee; September 18, 1997; Tennessee; State Appellate Court

Original Court Document: View Document

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Milam Construction Company entered into a $75,500 contract with Michael B. Johnson, Sr. and his wife, Daphne S. Johnson, for home construction, with Johnson depositing $500 into escrow. During construction, Johnson requested additional work, which was initially estimated at $6,000 but ultimately totaled $16,347.70. At closing, Johnson paid $40,000 but later sent a check for $35,000 that Milam Construction rejected because it did not cover the additional work charges. Johnson subsequently paid $23,394.52, leaving an alleged unpaid balance of $28,453.18.

Milam Construction sued Johnson for quantum meruit, while Johnson counterclaimed for damages due to construction defects, estimating repair costs at $29,700. At trial, Milam Construction argued that the defects had been addressed and that Johnson had inspected the work without complaint during construction. The trial court ruled in favor of Milam Construction, awarding $28,453.18 and dismissing Johnson's counterclaim. Johnson appealed, claiming the trial court erred by not offsetting the judgment for the costs to remedy the alleged defects.

The Court of Appeals reviewed the case de novo, affirming the trial court’s findings of fact and ruling. It found no reversible error and upheld the award to Milam Construction under quantum meruit, with costs assessed against the appellants.