United States Fidelity & Guaranty Co. v. United States

This is a suit by the surety of a prime contractor to recover the retained percentages earned by the contractor during its performance of the work and before the work was taken over by the surety and completed after default on the part of the prime contractor.

The facts show that on November 19,1932, the Construction Materials Corporation entered into a contract with the United States to furnish all labor and materials and perform all work required for the deepening of Ballards Eeef Channel, Detroit River, and for the construction of a compensating dike by the use of ledge rock removed from…