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Bloedorn Lumber Co. v. Nielson
300 Neb. 722
| Neb. | 2018
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Background

  • In 2013–2014 Nielson performed work on the Schilkes’ home, including arranging/obtaining granite countertops from Bloedorn Lumber for installation.
  • After installation in May 2014, Nielson stopped working; parties dispute whether he was fired for poor workmanship or stopped for nonpayment.
  • Both Nielson and Bloedorn filed construction liens; Bloedorn sued Nielson and the Schilkes; Nielson and the Schilkes filed cross-claims against each other.
  • At bench trial, the district court found Bloedorn entitled to judgment against Nielson for the countertop cost, dismissed Bloedorn’s claim vs. the Schilkes, and dismissed the Schilkes’ fraud/unjust-enrichment counterclaim against Nielson.
  • The court awarded Nielson $11,551.89 against the Schilkes on an unjust-enrichment/quantum meruit theory (no explicit breach-of-contract ruling), finding countertops increased the home’s value and that defects were not shown to reduce value.
  • The Schilkes’ posttrial motion and venue-transfer motion were denied; they appealed, challenging (1) recovery in unjust enrichment despite an express contract, (2) availability of lien remedy, (3) insufficiency of unjust-enrichment evidence, and (4) venue denial.

Issues

Issue Plaintiff's Argument (Nielson) Defendant's Argument (Schilkes) Held
Whether unjust enrichment recovery was improper because an express contract existed Nielson argued partial performance entitled him to quasi‑contract recovery (quantum meruit) when contract recovery was unavailable or limited Schilkes argued an enforceable contract covers the subject, displacing unjust enrichment Court: Allowed unjust enrichment as plaintiff partially performed and conferred benefit; contract does not bar recovery where substantial performance lacking
Whether filing a construction lien precludes unjust enrichment recovery Nielson argued lien does not eliminate right to pursue common‑law restitutional remedies Schilkes argued lien remedy meant unjust enrichment recovery was improper Court: Lien does not preclude pursuing or recovering on unjust enrichment/quasi‑contract claims
Whether evidence showed the Schilkes were unjustly enriched Nielson: countertops were installed, increased property value, and he was not paid Schilkes: they paid (cited $30,000 check) and alleged transfer of benefit not proved Court: Resolved factual conflict for bench winner (Nielson); evidence supported that Schilkes retained benefit and did not pay
Whether district court abused discretion in denying venue transfer to Chase County Nielson: trial in Lincoln County appropriate (residence/contacts) Schilkes: case should transfer because residence is in Chase County and trial there is more appropriate Court: No abuse of discretion; inconvenience to parties balanced and district court’s ruling upheld

Key Cases Cited

  • Par 3, Inc. v. Livingston, 268 Neb. 636 (2004) (suit for damages from breach of contract is an action at law)
  • City of Scottsbluff v. Waste Connections of Neb., 282 Neb. 848 (2011) (express contract normally displaces unjust enrichment; plaintiff may plead both theories)
  • Hooper v. Freedom Fin. Group, 280 Neb. 111 (2010) (bench trial factual findings carry weight of jury verdict; appellate review views evidence for successful party)
  • Tilt-Up Concrete v. Star City/Federal, 261 Neb. 64 (2001) (mechanic’s lien does not preclude pursuing breach‑of‑contract remedy)
  • RM Campbell Indus. v. Midwest Renewable Energy, 294 Neb. 326 (2016) (party who only partially performs may recover reasonable value of performance subject to offset for other party’s damages)
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Case Details

Case Name: Bloedorn Lumber Co. v. Nielson
Court Name: Nebraska Supreme Court
Date Published: Aug 10, 2018
Citation: 300 Neb. 722
Docket Number: S-16-329
Court Abbreviation: Neb.