Kaiser Steel Corporation, Plaintiff/appellee/cross-Appellant v. Frank Coluccio Construction Company, Defendants/appellants/cross-Appellees

Frank Coluccio Construction Company and its co-venturer S & M (“Coluccio”) appeal an adverse judgment of $4.78 million entered upon a jury verdict for Kaiser Steel on a claim of promissory estoppel. Coluccio also appeals the trial court’s refusal to grant a new trial. We affirm.

BACKGROUND

This diversity action arises from a dispute over some large steel pipe that was to be used to complete a $30 million construction project for the Snohomish County Public Utility District in the State of Washington. The project called for installation of several miles of ten-foot diameter steel pipe. In December 1981, Coluccio won a contract to complete one phase of the project based on a low bid that incorporated a bid from Kaiser as supplier of the pipe.

In the months that followed, Kaiser and Coluccio began negotiations to formalize their agreement. Coluccio wished to wait until its contract with the PUD was signed before signing anything with Kaiser. Nonetheless, oral representations and actions by Coluccio made clear to Kaiser that it would be the pipe supplier. On March 19, 1982, the day after the prime contract was executed, Coluccio sent Kaiser a “letter of intent” that…