In 2015, Hall County (Georgia) brought legal action against Selective Insurance Company of America, Inc., the surety company for contractor Ruby Forrest. Hall County had contracted Ruby Forrest to complete and maintain sidewalk systems within three residential subdivisions that Ruby …
Surety Bond
Subcontractor’s Claim against City Barred by City’s Compliance with Georgia Payment Bond Statute
In a recent Georgia Court of Appeals case, the Court was tasked with determining whether the City of Atlanta’s compliance with the Georgia Payment Bond Statutes barred a subcontractor from recovery against it after the general contractor failed to pay …
Local Government’s Claims on Developer Bonds Dismissed for Failure to Pursue Administrative Remedies
The Georgia Court of Appeals recently affirmed a trial court’s dismissal of a county’s claim on developer bonds based on its failure to exhaust administrative remedies. Douglas County v. Hamilton State Bank, — Ga. App. –, A16A1708 (Mar. 16, …
Public Owner Not Liable for Forged Non-Statutory Bond
When a cleaning contractor failed to pay its employees for cleaning services at a university, its employees sued the Board of Regents (BOR), asserting various creative arguments. For instance, they argued that the BOR and university were negligent in failing …
Surety Bond Lesson: Properly Identify the Parties
Surety bonds offer security to owners, contractors, subcontractors, and others for performance of work and payment therefor. Both payment and performance bonds provide a sense of comfort to parties that rely on bonded parties. But before relying on surety bonds, …