Lang

The suit involved in the present appeal was brought by the appellees to recover from the appellant, as surety, damages sustained by the former as a result of the alleged breach of the obligations of a bond guaranteeing the faithful performance of a subcontract for the welding of a pipe line between Kettleman Hills and Panoche Hills, Cal.

On March 9, 1929, the Pacific Gas & Electric Company, as “owner,” entered into a contract with the appellees, as “general contractor,” for the construction of a high-pressure gas pipe line approximately 149 miles in length, from Buttonwillow, in Kern county, to Tres Pinos, in San Benito county.

The work was divided into three sections. Section 2, which alone is involved in the present action, was approximately 41 miles long, and extended from Kettleman Hills to Panocho Hills.

On April 11, 1929, the appellees, as general contractor, and Smith and McComber, as “subcontractor,” entered into a subcontract whereby the latter firm agreed to do all the welding work on section 2 at the rate of 28Mi cents per linear foot.

By the terms of the latter contract the appellees were to dig the ditch and lay the pipe on skids, and the subcontractor was thee to…