W. F. Shawver Sons Co. v. Board of Education

Hatcher, President:

The primary question in this litigation is the responsibility of a surety’s indemnitor to the creditors of the surety’s principal.

R. A. Sutler contracted with a Board of Education to construct a school building, and The Equitable Casualty and Surety Company (hereinafter called Equitable) signed his contract bond as surety. Sutler’s application to Equitable to become his surety covenanted that he would indemnify it “against any and all liability, loss, costs, damages, attorney’s fees and expenses of whatever kind or nature” it might sustain by reason of executing his bond.…