National Surety Corp. v. Friendswood Independent School District

The opinion of the Court delivered July 17, 1968, is withdrawn and the following is substituted therefor:

STEAKLEY, Justice.

The Friendswood Independent School District, Respondent here and defendant below, contracted with I. W. Powers on March 10, 1962, for the construction of certain school facilities for a contract price of $309,033.02, funded by an authorized bond issue of $375,000. On March 13, 1962, National Surety Corporation, Petitioner here and plaintiff below, executed and delivered to the District a labor and material payment bond and a performance bond. The construction contract…