Rutter v. McLaughlin

Citation101 Idaho 292,612 P.2d 135
Decision Date23 May 1980
Docket NumberNo. 13339,13339
PartiesRalph F. RUTTER, Plaintiff-Appellant, v. James D. McLAUGHLIN and Willa K. McLaughlin, Defendants-Respondents.
CourtUnited States State Supreme Court of Idaho

E. Lee Schlender of Schlender & Donovan, Ketchum, for plaintiff-appellant.

Terry G. Hogue of Campion & Hogue, Ketchum, for defendants-respondents.

BAKES, Justice.

Plaintiff appellant Ralph F. Rutter agreed, for a specified price, to construct a house for defendant respondents James D. McLaughlin and Willa K. McLaughlin. Rutter and the McLaughlins entered into a written construction contract using a standard form agreement drafted by the American Institute of Architects (AIA). The standard form AIA contract utilized by the parties was designed to allow incorporation of a number of other documents and provided, in Article 16, for enumeration of any additional documents intended to be incorporated into the contract. When a dispute arose between Rutter and the McLaughlins over their respective contractual obligations, Rutter ceased work on the project, filed a labor and materialman's lien on the McLaughlins' property, and sought to foreclose the lien. The McLaughlins filed a counter claim for breach of contract and requested that the dispute between the parties be submitted to an arbitrator as provided in the AIA "General Conditions" claimed by the McLaughlins to be part of the parties' construction contract.

Following a hearing the district court concluded that an arbitration provision contained in the General Conditions was a part of the parties' construction contract and ordered the dispute submitted to arbitration. An arbitration award was made, later amended, and the amended award was confirmed by the district court. Plaintiff appellant Rutter appeals from the district court order confirming the arbitration award.

Rutter's principal contention is that the district court erred in concluding that the parties' contract contained provision mandating submission of any claims or disputes arising from the agreement to arbitration under AIA rules. Rutter points out that the General Conditions which provide for referral to arbitration of any claims or disputes was not listed in Article 16 of the standard form contract as a document incorporated by reference into the contract. However, the AIA standard form construction contract executed by the parties contains several direct references to various procedures specified in the General Conditions. Although the standard form contract contains several insertions or alterations made by the parties these references to the provisions of the General Conditions were left intact.

If a contract is reasonably subject to conflicting interpretation, it is ambiguous, and its construction is a question of fact. See, e. g., Werry v. Phillips Petroleum Co., 97 Idaho 130, 540 P.2d 792 (1975); Williams v. Insurance Co. of North America, 150 Mont. 292, 434 P.2d 395 (1967). The aim in construction of a contract is to ascertain the intention of the parties. Transamerica Leasing Corp. v. Van's Realty Co., 91 Idaho 510, 427 P.2d 284 (1967). While the General Conditions were not explicitly incorporated by reference into the parties' written contract by enumeration in Article 16 of the agreement, provisions of the General Conditions are referred to in several important articles of the written agreement as if the General Conditions were part of the parties' agreement. The contract must be read as a whole to ascertain the intent of the parties. Minidoka County, for the use and benefit of Detweiler Bros., Inc. v. Krieger, 88 Idaho 395, 399 P.2d 962 (1964). The question whether...

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64 cases
  • Loomis, Inc. v. Cudahy
    • United States
    • Idaho Supreme Court
    • October 1, 1982
    ...of proof when objections were sustained as to his lines of questioning at the hearing. As we expressed in Rutter v. McLaughlin, 101 Idaho 292, 293, 612 P.2d 135, 136 (1980): Our rule has been that on appeal district court findings of fact will not be overturned unless clearly erroneous. I.R......
  • Moss v. Mid-American Fire and Marine Ins. Co.
    • United States
    • Idaho Supreme Court
    • June 30, 1982
    ...is reasonably subject to differing interpretations, it is ambiguous and its meaning is a question of fact. E.g., Rutter v. McLaughlin, 101 Idaho 292, 612 P.2d 135 (1980); Bergkamp v. Carrico, 101 Idaho 365, 613 P.2d 376 (1980). See Farmers Ins. Group v. Sessions, 100 Idaho 914, 607 P.2d 422......
  • State v. Willoughby
    • United States
    • Idaho Supreme Court
    • May 12, 2009
    ...error through the record. Farmers Nat'l Bank v. Shirey, 126 Idaho 63, 72, 878 P.2d 762, 771 (1994) (citing Rutter v. McLaughlin, 101 Idaho 292, 293, 612 P.2d 135, 136 (1980)). When a party appealing an issue presents an incomplete record, this Court will presume that the absent portion supp......
  • State v. Horsley, 17605
    • United States
    • Idaho Supreme Court
    • April 26, 1990
    ...Farms Co. v. Conter, 103 Idaho 148, 645 P.2d 888 (1982); Woods v. Crouse, 101 Idaho 764, 620 P.2d 798 (1980); Rutter v. McLaughlin, 101 Idaho 292, 612 P.2d 135 (1980). Appellant has made no showing of error, and accordingly, this part of appellant's claim should be Horsley's second ground, ......
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