Massachusetts Bonding & Insurance v. Farmers & Merchants' State Bank

MR. Judge Hickman,

of the Commission of Appeals, delivered the opinion for the Court.

H. M. Lowe, herein called contractor, entered into a contract with the City of Grapeland for the construction of a sewage system for the City. He executed a bond as required of contractors on public works by Art. 5160, Vernon’s Civil Statutes, on which Massachusetts Bonding & Insurance Company was surety. The instant suit, as it reaches this court, involves controversies between the surety and various material-men and laborers, as well as between the surety and various banks which made loans to the contractor…