H & H Sewer Systems, Inc. v. Insurance Guaranty Ass'n

ELLIS, Judge.

This is an appeal by plaintiff H & H Sewer Systems, Inc. from a summary judgment dismissing its suit.

On April 11, 1973, James C. Plato and Douglas W. Potts, doing business as South Coastal Construction Company of Baytown, Texas, entered into a contract for the construction of a sewer system with the Town of Campti. Two performance bonds, both issued by Summit Insurance Company of New York, were furnished by the contractors. Subsequently, the contractors defaulted, and Summit became liable on its bonds.

The bonds contained the following provisions:

“(1) Whenever Contractor shall be,…