American Surety Company of New York v. United States

368 F.2d 475 AMERICAN SURETY COMPANY OF NEW YORK, a corporation, and J. L. McBride dba Mac Exploration Company, Defendants/Appellants, v. UNITED STATES of America FOR the Use and Benefit of B & B DRILLING COMPANY, a corporation, Plaintiff/Appellee. No. 20710. United States Court of Appeals Ninth Circuit. November 3, 1966. Morton Galane, Las Vegas, Nev., for appellants. Singleton, DeLanoy & Jemison, Rex Jemison, Las Vegas, Nev., for appellee. Before POPE, MERRILL and KOELSCH, Circuit Judges. POPE, Circuit Judge. 1 This was an action brought under the Miller Act, 40 U.S.C. §§ 270a and 270b, to recover sums owing to the use plaintiff B & B Drilling Company, for equipment, labor and supplies furnished to the defendant McBride. 2 On March 15, 1960, United States, acting through the Atomic Energy Commission, entered into a written contract with McBride whereby the latter agreed to furnish all necessary materials, equipment and labor to drill seven well holes at the atomic test site at Camp Mercury, Nevada. On May 9, thereafter, McBride subcontracted a portion of the work under a written contract to the use plaintiff. The contract provided that the use plaintiff…