Glens Falls Indemnity Co. v. Basich Bros.

On January 25, 1945, the United States of America entered into a contract with appellee, Basich Brothers Construction Company, for the construction of various airport- facilities at Davis-Monthan Airfield, situate at or near Tucson, Arizona. On February 7, 1945, appellee let to a firm, operating under the name of Duque and Frazzini, a special contract under which the said Duque and Frazzini were to -furnish certain of the materials to be used by appellee in the performance of its prime contract. Appellant, Glens Falls Indemnity Company, executed a bond whereby and wherein they guaranteed the faithful performance by Duque and Frazzini of their subcontract. Duque and Frazzini defaulted and appellee instituted an action in the District Court against appellant as said surety and recovered judgment in the sum of $79,-582.91, together with interest in the sum of $8,557.49, and costs of suit.

The defense made by appellant in the District Court is the same as the contentions made here on appeal, namely, that the right of appellee to recover against the surety by reason of the default of Duque and Frazzini was destroyed because of the failure of the appellee to perform certain alleged…