2021 Georgia Code
Title 13 - Contracts
Chapter 2 - Construction


Cross references.

- Formation and construction of sales contracts, ยงยง 11-2-201 et seq. and11-2-301 et seq.

JUDICIAL DECISIONS

Cited in Burks v. Board of Trustees of Firemen's Pension Fund, 214 Ga. 251, 104 S.E.2d 225 (1958); Farrendon Corp. v. Genesco, Inc., 822 F. Supp. 1576 (N.D. Ga. 1992).

RESEARCH REFERENCES

ALR.

- Construction and effect of guaranty of circulation in advertising contract, 1 A.L.R. 153.

Divisibility of contract for the sale of an outfit, plant, or machinery, 4 A.L.R. 1442.

Admissibility of parole evidence to vary or explain the contract implied from the regular endorsement of a bill or note, 22 A.L.R. 527; 35 A.L.R. 1120; 54 A.L.R. 999; 92 A.L.R. 721.

Payment or tender of unpaid purchase money as condition precedent to the right of a purchaser of land to rescind on the ground of defects in or want of title, 40 A.L.R. 693.

Promise to furnish separate instrument of guaranty or title as a dependent or an independent covenant, 48 A.L.R. 371.

Validity and construction of contract or option on purchase of corporate stock by employee for resale thereof to original seller on termination of employment, 48 A.L.R. 625; 66 A.L.R. 1182.

Validity and construction, as regards buildings not on right of way, of contract relieving railroad from liability for destruction of buildings, 48 A.L.R. 1003; 51 A.L.R. 638.

Who must bear loss from destruction of or damage to building during performance of building contract, without fault of either party, 53 A.L.R. 103.

Effect on contract of sale of subsequent agreement to exchange, 53 A.L.R. 207.

Validity and construction of contract or option, on purchase of corporation stock by employee, for resale thereof to original seller on termination of employment, 66 A.L.R. 1182.

Construction and effect of provision excusing performance of contract in case of crop failure, 67 A.L.R. 1432.

Validity and enforceability of provision for renewal of lease at rental not determined, 68 A.L.R. 157; 166 A.L.R. 1237.

Pursuit of remedies against third persons as condition of liability under bond conditioned against losses due to dishonesty or other misconduct of officer or employee, 74 A.L.R. 284.

Agreement, before death of third person, between his prospective heirs, devisees, or legatees as to their respective shares in the estate, 74 A.L.R. 441.

Validity, construction, applicability, and effect of provision in real estate mortgage regarding payment of taxes or assessments by mortgagee, 74 A.L.R. 506.

Sublease as breach of covenant against assignment, 74 A.L.R. 1018.

Effect of value limitation clause in bill of lading or shipping receipt for goods misdescribed therein or not received by carrier, 74 A.L.R. 1382.

Effect of recitals or provisions of bond to secure performance of contract as an interpretation of the terms of the contract, 76 A.L.R. 941.

Validity of provisions of construction contract referring questions to architect, where latter is under guaranty to keep contract below certain sum, 77 A.L.R. 1130.

Liability of sureties on bond of guardian, executor, administrator, or trustee for defalcation or deficit occurring before bond was given, 82 A.L.R. 585.

Liability of accident insurer as affected by insured's failure to take precautions to avoid effects of accident, 82 A.L.R. 694.

Death or injury while engaged in an athletic game or contest (baseball, basketball, bowling, boxing, fencing, football, golf, tennis, wrestling, automobile racing, bicycle racing, horse racing, steeplechase riding, etc.) as within coverage of life or accident insurance policy, 82 A.L.R. 732.

Time to be considered in determining whether a case is within the earlier or later provisions of the workmen's compensation act, as regards compensation recoverable, 82 A.L.R. 1244.

Rights under gas or oil lease or grant, or operating agreement, in respect of wet or casing-head gas or gasoline recovered therefrom, 82 A.L.R. 1304.

Restrictive covenants against conducting business or practicing profession as covering dealings or attempts to deal outside the restricted district with persons residing within the district, 87 A.L.R. 329.

Instrument for purchase of land as a contract or an option, 87 A.L.R. 563.

Validity, construction, and effect of provision in real estate mortgage as to rents and profits, 87 A.L.R. 625; 91 A.L.R. 1217.

Liability of lessee's assignee to lessor for rent accruing after assignment by him, in the absence of assumption of covenants of lease, 89 A.L.R. 433; 148 A.L.R. 196.

Admissibility of parol or extrinsic evidence on question whether time was of essence of written contract, 89 A.L.R. 920.

Admissibility of extrinsic evidence of custom or usage to show that words employed in a contract unambiguous on their face have a special trade significance, 89 A.L.R. 1228.

Agreement by lessee with third person permitting use of the property as violation of covenant in lease against assigning or subletting, 89 A.L.R. 1325.

Validity of agreement to make loans or advances as affected by objection of uncertainty or indefiniteness, 89 A.L.R. 1364.

Death of insured after default in payment of premiums within the period allowed for exercise of option as to benefits without having exercised option, 89 A.L.R. 1465.

Construction and application of statute or ordinance relating to wages of persons employed on public work, 93 A.L.R. 1249.

Construction and effect of promise to pay when promisor is able, 94 A.L.R. 721.

Criterion of health for purposes of warranty or condition in insurance contract, 100 A.L.R. 362.

Specification in employment contract of grounds or causes of discharge as exclusive of other grounds or causes, 100 A.L.R. 507.

Question whether express contract was made as one for court or jury when not evidenced by formal instrument but in whole or part by informal writings, 100 A.L.R. 969.

Construction and effect of bond or other agreement to protect mortgagee against prior tax or other liens, or failure to make or complete improvements or repairs, and measure of damages for breach thereof, 103 A.L.R. 1395.

Municipal ordinance as within rule that every contract is made with reference to existing law, 110 A.L.R. 1048.

Admissibility or oral or extrinsic evidence on question of liability on bill of exchange, promissory note, or other contract where signature is followed by word or abbreviation which may be either descriptive or indicative of contracting character, 113 A.L.R. 1364.

Who is dependent of insured within contract of fraternal or benevolent society, 113 A.L.R. 1518.

Rights in respect of proceeds of life insurance under policy naming creditor as beneficiary, 115 A.L.R. 741.

Construction, scope, and application of words descriptive of property in statute relating to liability of innkeeper to guest for loss or damage to property, 115 A.L.R. 1088.

Depreciation of value of insured building because of age at time of loss as a factor in determining the amount of a partial loss under insurance policy, 115 A.L.R. 1169.

Provision of lease authorizing its termination by lessor in event of insolvency, bankruptcy, or receivership of lessee, 115 A.L.R. 1189; 168 A.L.R. 504.

Indemnity provisions of accident policy, or life policy with accident or disability features, in respect of insured's disability, death, etc., as alternative or cumulative, 115 A.L.R. 1221.

Validity of option provisions in life insurance policy which vary from (or add to, or exclude) statutory provisions, 115 A.L.R. 1389.

Waiver of arbitration provision in contract, 117 A.L.R. 301; 161 A.L.R. 1426.

Passing of title to personal property under contract of sale, as affected by fact that contract covers both real and personal property, 117 A.L.R. 395.

Validity and effect of contract or deed which purports to cover or convey an undivided interest in land without specifying the amount of the interest, 123 A.L.R. 912.

Validity, construction, and application of insecurity clause in chattel mortgage, 125 A.L.R. 313.

Sufficiency of bookkeeping to satisfy condition of insurance policy, 125 A.L.R. 350.

Traffic violation as violation of law within provision of life or accident insurance policy or certificate excepting death or injury due to violation of law, 125 A.L.R. 1104.

Construction and effect of "strike clause" of contract, 125 A.L.R. 1304.

Scope and application of provisions of accident policy, or accident feature of life policy, relating to accident in connection with automobile or other motor vehicle, 138 A.L.R. 404; 78 A.L.R.2d 1044.

Rights and remedies as to premium where insured was under mistaken belief regarding value, nature, or existence of property subject of insurance, 138 A.L.R. 924.

Notice from insurer to effect that employment of agency of third person is unnecessary in collecting insurance, 138 A.L.R. 1374.

Validity and enforceability of agreement, between insurer and beneficiary of insurance electing to leave proceeds in insurer's hands, as to ultimate disposition of proceeds, 138 A.L.R. 1483.

Burn as an accident or caused by accidental means within coverage of life or accident insurance policy, 138 A.L.R. 1514.

Enlistment or mustering of minors into military service, 153 A.L.R. 1420; 155 A.L.R. 1451; 157 A.L.R. 1449.

Validity, construction, and effect of statutory or contractual provision in, government construction contract referring to Secretary of Labor questions respecting wage rates or classification of employees of contractor, 163 A.L.R. 1300.

Formal or written instrument as essential to completed contract where the making of such instrument is contemplated by parties to verbal or informal agreement, 165 A.L.R. 756.

Meaning of term "duration" or "end of war" employed in contract, 168 A.L.R. 173.

Right of contingent beneficiary to proceeds of life policy upon death of direct or primary beneficiary after death of insured, 172 A.L.R. 642.

Extrinsic evidence regarding character and size of trees contemplated by written timber contract or lease, 173 A.L.R. 518.

Title to unknown valuables secreted in articles sold, 4 A.L.R.2d 318.

Tax liabilities as within agreement for assumption or payment of another's obligations, 4 A.L.R.2d 1314.

Granting to lessee of "first" privilege or right to release or to renewal or extension of tenancy period as conditioned upon lessor's willingness to release, 6 A.L.R.2d 820.

Insurance of bank against larceny and false pretenses, 15 A.L.R.2d 1006.

Risks and losses covered by lightning insurance, 15 A.L.R.2d 1017; 47 A.L.R.4th 772.

What constitutes a "sale" of real property within purview of clause in lease making renewal clause inoperative in event of such contingency, 15 A.L.R.2d 1040.

Question, as one of law for court or of fact for jury, whether oral promise was an original one or was a collateral promise to answer for the debt, default, or miscarriage of another, 20 A.L.R.2d 246.

Width of way created by express grant, reservation, or exception not specifying width, 28 A.L.R.2d 253.

Construction and effect of clause in liability policy voiding policy while insured vehicles are being used more than a specified distance from principal garage, 29 A.L.R.2d 514.

Time within which insurer must make election to rebuild, repair, or replace insured property, 29 A.L.R.2d 720.

Animal or livestock insurance: risks and losses covered, 29 A.L.R.2d 790; 47 A.L.R.4th 772.

When is one confined to house within meaning of health or accident insurance policy, 29 A.L.R.2d 1408.

Construction and effect of severance or dismissal pay provisions of employment contract or collective labor agreement, 40 A.L.R.2d 1044.

Rights and liabilities as between employer and employee with respect to general pension or retirement plan, 42 A.L.R.2d 461; 46 A.L.R.3d 464.

Validity, construction, and effect of limited liability or stipulated damages clause in fire or burglar alarm service contract, 42 A.L.R.2d 591.

Construction and effect of clause in burglary policy requiring alarm system, 42 A.L.R.2d 733.

Coverage, construction, and effect of medical payments and funeral expense clauses of liability policy, 42 A.L.R.2d 983.

Validity, construction and effect of contract, option, or provision for repurchase by vendor, 44 A.L.R.2d 342.

Construction and effect of provision in private building and construction contract that work must be done to satisfaction of owner, 44 A.L.R.2d 1114.

What constitutes reservation of right to terminate, rescind, or modify contract, as against third party beneficiary, 44 A.L.R.2d 1270.

Sufficiency, under the statute of frauds, of description or designation of land in contract or memorandum of sale which gives right to select the tract to be conveyed, 46 A.L.R.2d 894.

Liability of one cutting and removing timber under deed or contract for failure to remove or dispose of debris, trimmings, or tops, 56 A.L.R.2d 400.

Mortgage, lien, or other encumbrance as constituting increase of hazard so as to avoid fire or other property insurance policy, 56 A.L.R.2d 422.

Discharge or retirement of employee because of age or physical disability as within provision of collective bargaining contract limiting employer's right to discharge employees, 56 A.L.R.2d 991.

Subletting or renting party of premises as violation of lease provision as to subletting, 56 A.L.R.2d 1002.

Effect of failure to contract for sale or exchange of real estate to specify time for giving of possession, 56 A.L.R.2d 1272.

Construction and effect of contract for sale of commodity or goods wherein quantity is described as "about" or "more or less" than an amount specified, 58 A.L.R.2d 377.

Construction and effect of agreement relating to salary of partners, 66 A.L.R.2d 1023.

Duration of liability to pay royalty under agreement for publication of material subject to copyright, not limited as to time, 69 A.L.R.2d 1317.

Construction and effect of lease provision relating to attorneys' fees, 77 A.L.R.2d 735.

Duty of lessee or assignee of mineral lease other than lease for oil and gas, as regards marketing or delivery for marketing of mineral products, 77 A.L.R.2d 1058.

Scope and application of provisions of accident policy, or accident feature of life policy, relating to accident in connection with automobile or other motor vehicle, 78 A.L.R.2d 1044.

Right of lessor to cancel oil or gas lease for breach of implied obligation to explore and develop further after initial discovery of oil or gas, in absence of showing reasonable expectation of profit to lessee from further drilling, 79 A.L.R.2d 792.

Applicability of iron safe clause where business is temporarily closed or unattended, 79 A.L.R.2d 877.

False statements favorable to defense, made and persisted in by insured, as breach of cooperation clause, 79 A.L.R.2d 1040.

Broker's right to commission on renewal, extension, or renegotiation of lease, 79 A.L.R.2d 1063.

Construction of standing timber contract providing that trees to be cut and order of cutting shall be as selected by seller, 79 A.L.R.2d 1243.

Rights and liabilities under "uninsured motorist" coverage, 79 A.L.R.2d 1252.

Provision of accident or health insurance policy that insured shall be under care of physician or surgeon, 84 A.L.R.2d 375.

Liability as between lessor and lessee, where lease does not specify, for taxes and assessments, 86 A.L.R.2d 670.

Water well-drilling contracts, 90 A.L.R.2d 1346.

What is included within term "mine" as used in written instrument, 92 A.L.R.2d 868.

Builder's risk insurance policies, 94 A.L.R.2d 221; 97 A.L.R.3d 1270; 22 A.L.R.4th 701.

Agister's liability for injury, weight loss, or death of pastured animals, 94 A.L.R.2d 319.

Person who signs contract but is not named in body thereof as party to contract and liable thereunder, 94 A.L.R.2d 691.

Liability of employer for agreed advances of drawing account which exceed commissions or share of profits earned, 95 A.L.R.2d 504.

Validity, construction, and effect of lessor's covenant against use of his other property in competition with the lessee-covenantee, 97 A.L.R.2d 4.

Duty of construction contractor to indemnify contractee held liable for injury to third person, in absence of express contract for indemnity, 97 A.L.R.2d 616.

Construction and effect of provision in contract for sale of realty by which purchaser agrees to take property "as is" or in the condition in which it is, 97 A.L.R.2d 849.

Construction of term "result from" or "as a result of" pregnancy, used in life, accident, health, or hospitalization policy, 97 A.L.R.2d 1068.

Right to reward of furnisher of information leading to arrest and conviction of offenders, 100 A.L.R.2d 573.

Contractor's liability for alleged breach of contract for construction of swimming pool, 1 A.L.R.3d 870.

Effect of stipulation, in public building or construction contract, that alterations or extras must be ordered in writing, 1 A.L.R.3d 1273.

Choice of law in construction of insurance policy originally governed by law of one state as affected by modification, renewal, exchange, replacement, or reinstatement in different state, 3 A.L.R.3d 646.

Contract, provision thereof, or stipulation waiving wife's right to counsel fees in event of divorce or separation action, 3 A.L.R.3d 716.

Extent and reasonableness of use of private way in exercise of easement granted in general terms, 3 A.L.R.3d 1256.

Insurance: construction of "sane or insane" provision of suicide exclusion, 9 A.L.R.3d 1015.

Construction, as to coverage, of insurance policy provision specifically covering loss or damage from smoke, smudge, or soot, 11 A.L.R.3d 901.

Oil and gas: "dry hole" as "well" within undertaking to drill well, 15 A.L.R.3d 450.

Disability insurance or provision: clause requiring notice of claim within specified time or as soon as reasonably possible, or the like, 17 A.L.R.3d 530.

Insurer's statements as to amount of dividends, accumulations, surplus, or the like as binding on insurer or merely illustrative, 17 A.L.R.3d 777.

Loss by heat, smoke, or soot without external ignition as within standard fire insurance policy, 17 A.L.R.3d 1155.

What are "fixtures" within provision of property insurance policy expressly extending coverage to fixtures, 17 A.L.R.3d 1381.

Effect on compensation of architect or building contractor of express provision in private building contract limiting the cost of the building, 20 A.L.R.3d 778.

Construction and effect of affirmative provision in contract of sale by which purchaser agrees to take article "as is," in the condition in which it is, or equivalent term, 24 A.L.R.3d 465.

Validity, construction, and enforcement of business opportunities or "finder's fee" contract, 24 A.L.R.3d 1160.

Validity and construction of liability policy provision requiring insured to reimburse insurer for payments under policy, 29 A.L.R.3d 291.

Breach or repudiation of collective labor contract as subject to, or as affecting right to enforce, arbitration provision in contract, 29 A.L.R.3d 688.

What constitutes improvements, alterations, or additions within provisions of lease permitting or prohibiting tenant's removal thereof at termination of lease, 30 A.L.R.3d 998.

Trivial nature of personal injury as excusing compliance with liability insurance policy provision requiring notice to insurer, 39 A.L.R.3d 593.

Validity and construction of accident insurance policy provision making benefits conditional on disability occurring immediately, or at once, or within specified time of accident, 39 A.L.R.3d 1026.

Validity and construction of provision in accident insurance policy limiting coverage for death or loss of member to death or loss occurring within specified period after accident, 39 A.L.R.3d 1311.

Who is "executive officer" of insured within coverage of liability insurance policy, 39 A.L.R.3d 1434.

Construction of provision in real-estate mortgage, land contract, or other security instrument for release of separate parcels of land as payments are made, 41 A.L.R.3d 7.

Private pension plan: construction of provision authorizing employer to terminate or modify plan, 46 A.L.R.3d 464.

Landlord and tenant: tenant's rights under provision giving him pre-emptive right to purchase on terms offered by third person, where third person's offer is withdrawn before tenant exercises pre-emptive right, 46 A.L.R.3d 1377.

Validity and construction of restrictive covenant controlling architectural style of buildings to be erected on property, 47 A.L.R.3d 1232.

Landlord and tenant: construction of provision of lease providing for escalation of rental in event of tax increases, 48 A.L.R.3d 287.

Validity, construction, and application of entirety clause in oil or gas lease, 48 A.L.R.3d 706.

What constitutes "actual trial" under policy provision conditioning liability insurer's obligation upon determination of insured's liability by judgment after actual trial, 48 A.L.R.3d 1082.

Property insurance on aircraft; risks and losses covered, 48 A.L.R.3d 1120.

Private pension plans: statements in literature distributed to employees as controlling over provisions of general plan, 50 A.L.R.3d 1270.

Construction of contract for installation of vending machine on another's premises, 53 A.L.R.3d 471.

Calculation of rental under commercial percentage lease, 58 A.L.R.3d 384.

Validity and enforceability of provisions for renewal of lease at rental to be fixed by subsequent agreement of parties, 58 A.L.R.3d 500.

Validity, construction, and effect of clause in franchise contract prohibiting transfer of franchise or contract, 59 A.L.R.3d 244.

Construction and operation of fee payment provisions of employment agency contract, 61 A.L.R.3d 375.

What conditions constitute "disease" within terms of life, accident, disability, or hospitalization policy, 61 A.L.R.3d 822.

What constitutes "one accident" or "one sickness" or related conditions or recurrences within provisions of health, accident, and disability insurance, 61 A.L.R.3d 884.

Grant, lease, exception, or reservation of oil and/or gas rights as including oil shale, 61 A.L.R.3d 1109.

What constitutes "trailer" within coverage or exclusion provision of automobile liability policy, 65 A.L.R.3d 804.

"Vehicle" or "land vehicle" within meaning of insurance policy provision defining risks covered or excepted, 65 A.L.R.3d 824.

Coverage and exclusions under hospital professional liability or indemnity policy, 65 A.L.R.3d 969.

What constitutes "direct loss" under windstorm insurance coverage, 65 A.L.R.3d 1128.

Validity and construction of contract exempting agricultural fair or similar bailee from liability for articles delivered for exhibition, 69 A.L.R.3d 1025.

Construction of agreement between real estate agents to share commissions, 71 A.L.R.3d 586.

Construction of provision, in compromise and settlement agreement, for payment of costs as part of settlement, 71 A.L.R.3d 909.

What constitutes "collapse" of a building within coverage of property insurance policy, 71 A.L.R.3d 1072.

Necessity for payment or tender of purchase money within option period in order to exercise option, in absence of specific time requirement for payment, 71 A.L.R.3d 1201.

Conflict of laws: what law governs validity and construction of written guaranty, 72 A.L.R.3d 1180.

Validity and construction of "no damage" clause with respect to delay in building or construction contract, 74 A.L.R.3d 187.

Construction and application of automatic sprinkler provision in fire insurance policy, 79 A.L.R.3d 539.

Construction and application of liability or indemnity policy on civil engineer, architect, or the like, 83 A.L.R.3d 539; 14 A.L.R.5th 695.

Requirements as to certainty and completeness of terms of lease in agreement to lease, 85 A.L.R.3d 414.

Excess of payment for one period as applicable to subsequent period under contract of mortgage providing for periodic payments, 89 A.L.R.3d 947.

Right of architect to compensation under contractual provision that fee is to be paid from construction loan funds, 92 A.L.R.3d 509.

Modern status as to duration of employment where contract specifies no term but fixes daily or longer compensation, 93 A.L.R.3d 659.

Increase in tuition as actionable in suit by student against college or university, 99 A.L.R.3d 885.

Heart attack following exertion or exercise as within terms of accident provision of insurance policy, 1 A.L.R.4th 1319.

Debts included in provision of mortgage purporting to cover all future and existing debts (Dragnet Clause) - modern status, 3 A.L.R.4th 690.

Division of opinion among judges on same court or among other courts or jurisdictions considering same question, as evidence that particular clause of insurance policy is ambiguous, 4 A.L.R.4th 1253.

Scope of clause excluding from contractor's or similar liability policy damage to property in care, or control of insured, 8 A.L.R.4th 563.

Insured's duties respecting care of injured or ill animal covered by animal or livestock policy, 22 A.L.R.4th 1053.

Liability of person furnishing, installing, or servicing burglary or fire alarm system for burglary or fire loss, 37 A.L.R.4th 47.

Livestock or animal insurance: risks and losses, 47 A.L.R.4th 772.

Who is "executive officer" of insured within liability insurance policy, 1 A.L.R.5th 132.

What entities or projects are "public" for purposes of state statutes requiring payment of prevailing wages on public works projects, 5 A.L.R.5th 470.

Construction and application of "business pursuits" exclusion provision in general liability policy, 35 A.L.R.5th 375.

Validity, construction, and application of provision in automobile liability policy excluding from coverage injury to, or death of, employee of insured, 43 A.L.R.5th 149.

Who is "employee," "workman," or the like, of contractor subject to state statute requiring payment of prevailing wages on public works projects, 5 A.L.R.5th 513.

International Union of Operating Engineers, Local 18 v. Dan Wannemacher Masonry Co., 5 A.L.R.5th 1106.

What are "prevailing wages," or the like, for purposes of state statute requiring payment of prevailing wages on public works projects, 7 A.L.R.5th 400.

Construction and effect of provision in contract for sale of realty by which purchaser agrees to take property "as is" or in its existing condition, 8 A.L.R.5th 312.

What projects involve work subject to state statutes requiring payment of prevailing wages on public projects, 10 A.L.R.5th 337.

Employees' private right of action to enforce state statute requiring payment of prevailing wages on public works projects, 10 A.L.R.5th 360.

Liability of contractor who abandons building project before completion for liquidated damages for delay, 15 A.L.R.5th 376.

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