Hensel Phelps Construction Co. v. General Signal Corp.

MURRAH, Circuit Judge.

This diversity suit arises out of the construction of a sewage treatment plant in Boulder, Colorado, for which Hensel Phelps Construction Company (a Colorado corporation) was the general contractor. Appellee, General Signal Corporation (a New York corporation doing business as BIF), furnished materials to E. K. Jenkins, Inc., a now bankrupt subcontractor. BIF never received payment for these materials which were incorporated into the finished plant. After Hensel Phelps and its statutory surety, Aetna-Casualty and Surety Company (a Connecticut corporation), finally denied…