Construction
Feb. 5, 2024
Payment bond sureties’ right to attorneys’ fees clarified
Prevailing payment bond sureties, even if defended by their principals pursuant to a defense and indemnity agreement, are entitled to recover the attorneys’ fees incurred in defending against claims against the payment bond.
Garret D. Murai
Partner
Nomos LLP
Garret is the editor of the California Construction Law Blog at www.calconstructionlawblog.com.
As contractors involved in California public works projects know, on public works projects with a value of $25,000 or more, direct contractors are required to furnish a payment bond. A payment bond, which is issued by a payment bond surety, is for the benefit of subcontractors and material suppliers should they not get paid for their labor and materials furnished on the project. Sometimes, however, disputes arise over whether payment is owed, and in those situations,...
For only $95 a month (the price of 2 article purchases)
Receive unlimited article access and full access to our archives,
Daily Appellate Report, award winning columns, and our
Verdicts and Settlements.
Or
$795 for an entire year!
Or access this article for $45
(Purchase provides 7-day access to this article. Printing, posting or downloading is not allowed.)
Already a subscriber?
Sign In