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Construction Law

: The South Carolina Construction Law Blog

A Promise by E-Mail Must be Supported by Consideration

By Ryan McCabe

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    Inland Constr. Co. v. Cameron Park II, Ltd., LLC, 640 S.E.2d 415 (2007).

            A contractor sued a corporation for money owed by the corporation under the terms of their construction contract. The contractor constructed improvements to a building owed by the corporation. The agreement provided that any modifications to the project had to be done through a change order. The corporation then refused to pay for a heating, ventilation, and air conditioning unit not agreed to in the original contract. No change order referring to the change was presented in court.

            The corporation alleged that an e-mail sent by an officer of the contractor that alleged the contractor would add the unit at its own cost was a valid offer, contractually binding on the contractor. The court noted that the e-mail was not accompanied by any consideration. The e-mail said: "The owner [the corporation] will have no cost associated with this change in the mechanical system." Nevertheless, because of lack of consideration, this promise was found unenforceable and the contractor was able to charge the corporation for the additional changes.

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Full post as published by The South Carolina Construction Law Blog on April 07, 2009 (boomark / email).