Huff v. FirstEnergy Corp.

Summary

The Supreme Court of Ohio held that an injured third party qualifies as an intended third-party beneficiary only when the contract indicates an intention to benefit that third party. The court concluded that a utility vegetation-management contract requiring the contractor to safeguard persons and property during its work did not create an ongoing duty to protect the general public from injury after the work was completed. The court reversed the appellate judgment and reinstated summary judgment for Ohio Edison and Asplundh.

Holdings

1. For an injured third party to qualify as an intended third-party beneficiary under a written contract, the contract must indicate an intention to benefit that third party. The Ohio Edison-Asplundh contract did not indicate an intent to benefit the Huffs, so they had no enforceable contractual rights.
2. The provision requiring the contractor to safeguard all persons and property from injury established safety guidelines for work performed at the site; it did not require Ohio Edison or Asplundh to protect all persons from injury at all times after the work was completed.

Questions Presented

1. Whether the Huffs were intended third-party beneficiaries of the written contract between Ohio Edison and Asplundh.
2. Whether the contract created a continuing duty to protect members of the public from injury after the contractor completed its work.

Disposition

reversed