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Contractor Bound By Surety's Litigation Bonds-payment; Indemnification

Thursday, November 03, 2005 04:23 pm

 
Contractor Bound By Surety's Litigation Bonds-payment; Indemnification

A federal district court has ruled that a contractor was bound by its surety's litigation with a subcontractor even though the contractor was not a party to that suit.

Hunt Construction Group, Inc. was the prime contractor for construction of Detroit Lions Stadium (also known as Ford Field). Hunt subcontracted the structural steel work to ADF International, Inc., which furnished payment and performance bonds issued by American Casualty Co. of Reading, Pa. ADF then entered into a subcontract with Steelcon, Inc.

In the course of complex, multi-party litigation in the state courts, Steelco [...]

 
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