Hartford Accident & Indemnity Co. v. Kranz

In June, 1955, the defendant Kranz was awarded a State contract for the construction of 8.71 miles of public highway from Redwood to the St. Lawrence County line. He *605thereafter agreed with the defendant Leto for excavation and drainage work amounting to approximately $300,000 providing he (Leto) obtained a surety bond. An application was made to the Albany office of the plaintiff insurance company and after some discussion Leto was advised that the plaintiff would not undertake a bond in the amount requested but might be interested to the extent of $200,000. In the presence of Wilson and…