Lemoge
Lemoge v. United States
Opinion
Opinion
Renfrew, J.
MEMORANDUM OF OPINION, FINDINGS OF FACT, AND CONCLUSIONS OF LAW
Pursuant to stipulation, this case was submitted for decision upon an agreed statement of facts with attached documentary exhibits, the deposition of plaintiff, and the respective briefs of counsel.
Lemoge Electric, Inc., is a California corporation, incorporated in 1953. Plaintiff’s husband had been president and sole shareholder of the corporation until his death in 1959. When her husband died, plaintiff became president and sole shareholder of the corporation.
In 1964 Lemoge Electric, Inc., was awarded a $579,647.01 subcontract to perform work on Mary’s Help Hospital in Daly City. F. P. Lathrop, the general contractor, required Lemoge Electric, Inc., to secure a performance bond and a payment, labor and material bond, both of which were obtained from Argonaut Insurance Co. As a condition for obtaining the bonds plaintiff, individually, and Lemoge Electric, Inc., were required to indemnify the insurance company against any loss, damage or expense incurred as a result of the bond or in enforcing the indemnity agreement.
In 1964, Lemoge Electric, Inc., encountered financial difficulties on the Mary’s Help Hospital…