West-Fair Electric Contractors v. Aetna Casualty & Surety Co.
New York Court of Appeals
1Opinion of the Court
OPINION OF THE ,COURT
Smith, J.
Two questions of law have been certified to us from the Second Circuit Court of Appeals (West-Fair Elec. Contrs. v Aetna Cas. & Sur. Co., 49 F3d 48):
1. Whether a pay-when-paid provision in a subcontract, which transfers the risk of an owner’s default from a general contractor to a subcontractor, violates New York public policy as set forth in the Lien Law; and
2. Whether a surety’s liability is contingent on the duty of a contractor to make payment to a subcontractor when the surety bond created an independent obligation to that subcontractor.
We answer the first…
2Cases cited7 opinions
- Schuler-Haas Electric Co. v. Aetna Casualty & Surety Co.New York Court of Appeals · 1976
- Schuler-Haas Electric Corp. v. Aetna Casualty & Surety Co.Appellate Division of the Supreme Court of the State of New York · 1975
- Gilbane Building Co. v. Brisk Waterproofing Co.Court of Special Appeals of Maryland · 1991
- David Fanarof, Inc. v. Dember Construction Corp.Appellate Division of the Supreme Court of the State of New York · 1993
- Architectural Systems, Inc. v. Gilbane Building Co.District Court, D. Maryland · 1991
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- Aspro Mechanical Contracting, Inc. v. Fleet Bank, N.A.New York Court of Appeals · 2004
- Canron Corp. v. City of New YorkNew York Court of Appeals · 1996
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