San Bernardino Valley Water Development Co. v. San Bernardino Valley Municipal Water District
Opinion
Opinion
Ashbtjrn, J.
Plaintiff San Bernardino Valley Water
Development Company is assignee of Stephan Riess, who on July 1, 1959, made a written contract with defendant San Bernardino Valley Municipal Water District to locate and drill for it wells producing “potable water suitable for human consumption, from sources in hard-rock water-bearing channels and other sources from which water is not now ob tained or utilized.” The drilling of the wells was to be done solely at the expense of the Development Company. It did partially complete two wells known as Blu-Cut Nos. 1 and 2, also completed a well designated as Yucaipa No. 1, expending reasonably in the drilling of said wells the sum of $187,-292.94 out-of-pocket expenses, as the court affirmatively found. When the Yucaipa well was offered to the District as completed and for the purpose of flow testing by defendant, it delayed action and finally refused to accept the well or pay for it. So plaintiff sued, the District defended upon the ground, among others, that the water was not from a source specified in the contract, not “new” water. The trial court rendered judgment for defendant but, while denying plaintiff any compensation for work done by it,…