Edmond Brothers Supply Company, Inc., v. Boyle and Adams et al.

Edmond Brothers Supply Company, Inc. (“Plaintiff”), a building materials supplier, sold materials to a contractor for use in a construction project for Bristol Regional Women’s Center, P.C., (“Defendant”). Plaintiff did not send statements to Defendant because the contractor instructed Plaintiff not to bill Defendant. When the project was completed, the contractor took the Plaintiff’s final bill to Defendant for payment. Defendant’s office manager sent a check in full payment to Plaintiff, but Defendant stopped payment on the check and refused to pay the bill. Plaintiff brought
suit against Defendant, individual defendants, and a partnership to enforce a materialmen’s lien for the outstanding debt. All defendants denied enforceability of the lien. The Trial Court dismissed the action to enforce the materialmen’s lien, dismissed the action against the individual defendants and the partnership, and granted judgment to Plaintiff against Defendant on an agency theory. The Trial Court found that the contractor had authority to make the purchases for Defendant and that since Defendant had used the materials in its building, Defendant was obligated to pay for them, despite its instruction to the contractor not to charge any materials for the project. Defendant appeals this judgment. We hold that the contractor had no actual, implied, apparent, or ostensible authority to charge building materials to Defendant. We reverse the judgment of the Trial Court, and dismiss the Complaint against Defendant. Tenn. R. App. Rule 3; Judgment of the Trial Court Reversed; Case Remanded.