B-144142, OCT. 20, 1960

B-144142: Oct 20, 1960

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DUDLEY AND EASTERWOOD: WE HAVE YOUR LETTER OF SEPTEMBER 12. WE MUST HAVE A BOND FROM THE SURETY INDEMNIFYING THE UNITED STATES FOR ANY LOSS SUSTAINED BY REASON OF PAYMENT OF THIS CLAIM. THIS REQUIREMENT IS CONSISTENT WITH THE OFFER MADE TO THE ACTING DISTRICT ENGINEER AT JACKSONVILLE. WE HAVE BEEN ADVISED BY LETTER OF SEPTEMBER 28. THE DATE THE CONTRACT WORK WAS ACCEPTED BY THE GOVERNMENT. PROCESSING OF THE CLAIM WILL PROCEED UPON RECEIPT OF THE TWO ITEMS DESCRIBED ABOVE.

B-144142, OCT. 20, 1960

TO MCNUTT, DUDLEY AND EASTERWOOD:

WE HAVE YOUR LETTER OF SEPTEMBER 12, 1960, WITH ENCLOSURES, CONCERNING THE CLAIM OF THE SEABOARD SURETY COMPANY, AS SURETY FOR J. C. HARPER CONSTRUCTION COMPANY, INC., UNDER CONTRACT NO. DA-08-123-ENG 2676, FOR $56,351.38, REPRESENTING RETAINED PERCENTAGES OTHERWISE DUE THE CONTRACTOR UPON SUCCESSFUL COMPLETION. THE SURETY TOOK OVER, PURSUANT TO MODIFICATION NO. 15 OF THE CONTRACT EXECUTED ON MAY 8, 1959.

BEFORE THE CLAIM CAN BE GIVEN FAVORABLE CONSIDERATION, WE MUST HAVE A BOND FROM THE SURETY INDEMNIFYING THE UNITED STATES FOR ANY LOSS SUSTAINED BY REASON OF PAYMENT OF THIS CLAIM. THIS REQUIREMENT IS CONSISTENT WITH THE OFFER MADE TO THE ACTING DISTRICT ENGINEER AT JACKSONVILLE, FLORIDA, BY THE GENERAL COUNSEL FOR THE CLAIMANT IN A LETTER OF JUNE 2, 1959, AND APPROVED BY THE PRESIDENT OF THE SURETY COMPANY. IN ADDITION, WE HAVE BEEN ADVISED BY LETTER OF SEPTEMBER 28, 1960, FROM THE INTERNAL REVENUE SERVICE, THAT THERE REMAINS DUE THE UNITED STATES IN TAXES FROM THE CONTRACTOR ACCRUED UP TO APRIL 24, 1959, THE DATE THE CONTRACT WORK WAS ACCEPTED BY THE GOVERNMENT, THE AMOUNT OF $487.72, WITH INTEREST FROM JANUARY 31, 1960, TO DATE OF PAYMENT OR SETOFF. WE REGARD THE SETTLEMENT BY THE CLAIMANT TO ACCEPT IN FULL AND FINAL SETTLEMENT THE AMOUNT CLAIMED, LESS TAXES AND INTEREST AS STATED ABOVE, AS ANOTHER NECESSARY PRELIMINARY TO FAVORABLE CONSIDERATION OF THE CLAIM.

PROCESSING OF THE CLAIM WILL PROCEED UPON RECEIPT OF THE TWO ITEMS DESCRIBED ABOVE.