BONDS - SURETY - SUBROGATION - CLAIMS OF LABORERS AND MATERIALMEN COMPLETING SURETY OF DEFAULTING CONTRACTOR IS NOT ENTITLED. TO AMOUNTS OTHERWISE DUE CONTRACTOR UNLESS ALL CLAIMS OF LABORERS AND MATERIALMEN AGAINST THE CONTRACTOR HAVE BEEN PAID. PARTICULARLY WHERE THE SURETY WAS NO NOTICE OF SUCH CLAIMS. 1937: REFERENCE IS MADE TO YOUR LETTER OF MAY 28. YOU WERE THE SURETY ON THE CONTRACTOR'S PER...

THERE IS NEITHER REQUIREMENT NOR JUSTIFICATION FOR THE RECOGNITION BY THE ACCOUNTING OFFICERS OF AN ASSERTED RIGHT OF SUBROGATION WHERE THERE IS ANY BASIS FOR REASONABLE DOUBT THAT THE COURTS WOULD RECOGNIZE SUCH RIGHT. COMPLETING SURETY OF DEFAULTING CONTRACTOR IS NOT ENTITLED. TO AMOUNTS OTHERWISE DUE CONTRACTOR UNLESS ALL CLAIMS OF LABORERS AND MATERIALMEN AGAINST THE CONTRACTOR HAVE BEEN PAID...