Alabama Supreme Court Appellate Alert: Decision from December 5, 2025

PDF

The Alabama Supreme Court issued its weekly release list on Friday, December 5th, which included one opinion of interest to the Alabama business community:

• Pinpoint Locating, Inc. v. The Water Works and Gas Board of the City of Red Bay

Pinpoint Locating, Inc. won a public-works contract with the Water Works and Gas Board of the City of Red Bay. The Board stopped payments based on its concern that advertisement for bids had not been made in accordance with the competitive-bid law applicable to public works, § 39-2-2. Pinpoint sued for breach of contract. The circuit court agreed that the contracts were void for failure to strictly comply with § 39-2-2, and it entered a summary judgment for the Board. The Alabama Supreme Court reversed. Justice Sellers, joined by five justices, concluded that the doctrine of substantial compliance applied and that Pinpoint’s evidence that the Board substantially complied with the advertising requirements was enough to survive summary judgment.

Justice Shaw dissented, joined by Justice McCool, arguing that another section of Title 39 foreclosed reliance on equitable doctrines like substantial compliance in the public works context. He stressed that public-works contractors should protect themselves by not working (as Pinpoint had) without the certification of legal compliance from the awarding authority required by § 39-5-1(b). With the proper certification, the contract would have been enforceable unless Pinpoint had knowledge of the Board’s noncompliance with the competitive-bid law.

If you have questions about this week’s case or want to discuss other matters relating to Alabama appellate law, please do not hesitate to reach out to the attorneys below or to another member of Maynard Nexsen’s Appellate Group.