City of Marshall v. American General Insurance Co.

CORNELIUS, Chief Justice.

The City of Marshall and the Marshall Industrial Foundation constructed an industrial park in the City of Marshall. The work was performed under construction contracts with Pit Construction Company, Oden Construction Company and James Harper Construction Company. Mr. and Mrs. Clessie Pyle owned land adjoining the construction site, and after completion of the construction, they brought suit against the City for damages to their property allegedly caused by negligent acts on the part of Pit Construction Company. Pit had furnished the City a performance bond as required…