Austin-Western Road MacH. Co. v. John A. Spencer, Inc.

The question in this case is whether an accord and satisfaction between a principal and surety, by the terms of which the former accepts an amount smaller than the sum claimed, discharges the principal for the balance. The case- is here on the pleadings alone. Thé trial court held that the discharge of the surety from further liability discharged the principal.

Appellee was engaged in highway construction in the State of Arkansas. It was required to and did execute a bond to tbe highway commission of that state, conditioned to faithfully perform the work undertaken, and, in addition, to pay…