American Surety Co. of New York v. Wm. Cameron & Co.

In November, 1926, Southwell & Abbott, a partnership, made a contract with T. B. Ellison to construct a warehouse at a cost of $28,144. Under article 5 of the contract, it is provided that the final payment would be made when the work was completed and accepted by the architect, and specifically provides:

“Before issuance of final certificate the contractor shall submit evidence satisfactory to the architect that all pay rolls, material bills and other indebtedness connected with the work have been paid.”

Under article 9 the contractors were required to pay for all labor and material used in…