Island Gun Club v. National Surety Co.

Citations

• 101 Wash. 185
• 172 P. 209
• 1918 Wash. LEXIS 809

Syllabus

<p>Principal and Surety — Bond for Performance of Contract — Construction. A bond given to secure the faithful performance of a contract to furnish all labor and material for an improvement, guarantees payment of a subcontractor doing work on the job for which the subcontractor had a lien, although the contract did not expressly provide for a bond to secure performance.</p> <p>Same—Liability of Surety—Performance of Contract—Protection Against Liens. Where a bond insuring the performance of a contract required the surety to pay out any money which should be paid to it, “for the protection of all parties in interest,” the surety is liable for the amount of the contract price which was paid to it upon a dispute arising, and which it paid to the contractor, after notice that a subcontractor had not been paid and had a claim for a lien exceeding the sum paid over.</p> <p>Receivers—Authority—Assignments. General receivers of a foreign surety company have, by virtue of their office, authority to assign to persons to whom the surety company is liable the surety company’s rights under an indemnity bond protecting it against the liability; the same not being the assignment of assets, but simply a matter of relieving it from the obligation.</p> <p>Same — Assignments — Execution. A receivers’ assignment of rights under an indemnity bond, in consideration of a release from liability for the same matter, is sufficient, although signed by their individual names, without official designation, where the body of the assignment referred to the receivers as assignors, and recitals made it plain that they intended to execute it in their capacity as receivers.</p> <p>Trial—Objection to Evidence—Sufficiency. Upon the offer of a receivers’ assignment in evidence, an objection to it as “incompetent, irrelevant, and immaterial,” is insufficient to raise the point that the signatures of the receivers had not been proved, where the objection was overruled, “unless there is objection to the fo