Credit General Insurance v. Atlas Asphalt, Inc.

Steele Hays, Justice.

By this appeal we are asked to decide whether a supplier of construction materials is barred under Ark. Code Ann. § 18-44-508 (1987) from bringing suit under a performance bond where the suit is not filed within six months from the date an interim payment is made on the contract.

The City of Harrisburg contracted with KLW, Inc., the prime contractor, for street and sewer improvements. Asphalt paving was performed by Fields Curbco, Inc., under a subcontract with KLW dated October 22,1986. The amount to be paid Fields Curbco under the subcontract was $87,910. Fields Curbco’s…