Bay Cities Paving & Grading, Inc. v. Hensel Phelps Construction Co.

Bay Cities Paving and Grading, Inc. appeals from a judgment that it take nothing upon its complaint against Hensel Phelps Construction Company.

Appellant submitted bids to respondent for excavation and asphalt paving subcontracts in connection with construction of the Bay Area Rapid Transit (BART) station at Concord, California. Respondent informed appellant that appellant’s bid for the excavation work was too high, but that appellant’s bid for the paving was almost the lowest bid. Appellant then cut its paving bid by $8,931, and respondent agreed to list appellant as its designated subcontractor for the paving.

Respondent submitted its total bid as prime contractor to BART. Included with the bid was the required “designation of subcontractors,” wherein respondent listed both itself and appellant as the subcontractors responsible for the paving and excavation work. Respondent was subsequently awarded the construction contract by BART.

After the contract was awarded, appellant asserted that it was the designated subcontractor for both the excavation and paving work, and sought an agreement from respondent that appellant perform the excavation at a price different from…