Fidelity & Deposit Co. of Md. v. Arenz

In 1929 respondent, for the purpose of procuring a corn-tract with Oregon for highway construction and in compliance with applicable.statutes (§§ 49-701 and 67-1101, Oregon Code, 1930), gave to the State a bond on which petitioner was surety conditioned that he would pay for labor and material entering into the work. He failed, and one who had furnished him labor and material sued on the bond and obtained a judgment for $10,000 against principal and surety jointly. Petitioner paid and took an assignment of the judgment. In 1931 respondent, having been adjudged bankrupt, applied for discharge…