OW Grun Roofing & Construction Co. v. Cope

Citation and Court

O.W. Grun Roofing & Construction Co. v. Cope, 529 S.W.2d 258 (Tex. Civ. App. 1975)

Facts

Cope hired Grun Roofing to install a new roof on her home. After installation, the roof showed streaking—different-colored shingles that created an uneven, blotchy appearance. Cope refused to pay the full contract price. Grun argued it had substantially performed because the roof was functional and watertight, and sought the contract price less any damages for the cosmetic defect.

Issue

Whether a roofing contractor that installed a functionally sound but aesthetically streaked and defective-looking roof substantially performed its contract so as to be entitled to the contract price.

Holding

The Texas Court of Civil Appeals held that the contractor had not substantially performed because a streaked, multicolored roof failed to achieve the essential purpose of the contract—providing a uniform, aesthetically acceptable roof—and Cope was not required to pay.

Rule / Doctrine

Substantial performance requires that the essential purpose of the contract be achieved. Where the contract’s purpose involves not only functionality but also aesthetic result (such as a uniform-looking roof on a home), a contractor who delivers a functional but visually defective result has not substantially performed and cannot recover on the contract.

Significance

An important limiting case on the substantial performance doctrine. Demonstrates that “functional” is not always synonymous with “substantial performance”—when aesthetics are a material part of what was bargained for, a visually unsatisfactory result may fail the substantial performance test. Contrasts with Plante v. Jacobs, where the court found substantial performance despite minor deviations.

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