Sundberg v. Boeing Airplane Co.

The parties involved in this proceeding are Oscar Sundberg and Sons, a copartnership, the Boeing Airplane Company, the American Surety Company of New York, and F. B. Tilley, doing business as Ace Appliance Company. They will hereafter be referred to as Sundberg, Boeing, the surety, and Tilley, respectively.

The facts relevant to this appeal are as follows:

February 8, 1955, Sundberg entered into an extensive *736painting contract with Boeing. As required by the contract, he deposited a performance and a payment bond, both of which were issued by the surety.

July 7, 1955, Tilley commenced an action…