Legal analysis from Dean's Law Dictionary will be displayed here.

This section contains the nature of the case and procedural background.

Motel Services (P) agreed with the Waterville Housing Authority to build two housing projects on a turnkey basis. Initially, the plans called for oil heating, but P got real smart and found out that Central Maine Power Co. (D) was offering a promotional allowance to install electric heating. P then persuaded Waterville and HUD to consent to modifications and even offered a price reduction of $16,000. P did not tell them that he was getting a promotional allowance from D. After the electrical system was installed and before all the Standards required by D had been complied with, P conveyed the property to Waterville to avoid tax consequences. The projects were completed and eventually met all of D's standards. D completed the paperwork and inspection from D and D then, not knowing of the situation, sent the forms and allowance to Waterville. P sued D claiming it was entitled to the allowance. Judgment was for D and P appealed.

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