American Surety Co. of New York v. Cove Irr. Dist.

This suit was brought to recover on a bond given by appellant to insure the faithful performance of a contract made by Sehleuter Brothers, wherein the latter contracted to perform work and furnish materials for appellee irrigation district. Sehleuter Brothers defaulted on their contract. Prior to default, a number of subcontractors and materialmen had been employed by the main contractors and their accounts had not been settled. The irrigation district sued on behalf of the claimants. Decision was in favor of the surety company, appellant, and the case was, in 1930, brought to this court. The judgment was reversed. Cove Irr. District v. American Surety Company, 42 F.(2d) 957 .

Upon the mandate going down, requiring the District Court to take further proceedings in harmony with the decision rendered, the District Judge, upon the evidence already heard, made new findings and entered judgment for the aggregate sum of $17,963.72, which apparently included interest from the dates of accrual of the several separate amounts. This appeal was then taken.

When the cause came on for hearing in this court, objections were urged by appellee to a consideration of the record on the former…