Universal Builders, Inc. v. Moon Motor Lodge, Inc.
Supreme Court of Pennsylvania
244 A.2d 10 (Pa. 1968)
Universal Builders (Universal) (plaintiff) contracted with Moon Motor Lodge (Moon) (defendant) to build a motel under a contract requiring all changes to be in writing; Moon's agent, Berger, who knew the contract's requirements well, orally requested extra work beyond the original contract, promised Moon would pay for it, and was frequently on-site watching much of the additional work being performed. Moon later refused to pay, invoking the contract's written-change requirement, and Universal sued to recover payment for the additional work; the trial court ruled for Universal despite the writing requirement, and Moon appealed.
Whether an individual may rely on a contract provision requiring changes to be in writing to refuse payment for extra work when the individual orally promised to pay for it and watched it performed, knowing of the written-change requirement.