United States Fidelity & Guaranty Co. v. American Savings Bank & Trust Co.

Citations

• 103 Wash. 304

Syllabus

<p>Guaranty — Contractor’s Bond — Loan to Contractor — Consent of Surety — Liability. A letter from a contractor’s surety consenting to an assignment of bonds, to be held “as collateral security only for a loan” to the contractor, is not a guaranty of payment of the loan on failure of the security through default of the principal.</p> <p>Municipal Corporations — Public Improvements —i Contract. Where contractors for a street fill did not make part of the fill, which was done by a street railway company as required by its franchise, they are not entitled to pay therefor, under a contract which provided that the city engineer or board of public works shall have the right to eliminate any of the items called for in the contract, and such changes shall not constitute a claim for loss of anticipated profits.</p>