Most Clicked NASBP SmartBrief Stories


1. Prime's fake surety bond hinders relief for subs on Conn. project

NASBP SmartBrief | Apr 09, 2015

A Connecticut Superior Court ruling lets subcontractors on a public project in Darien, Conn., seek payment from the town for amounts owed under the state's statute dealing with unjust enrichment. The prime contractor had a fraudulent surety provider and did not receive the full contract amount from the town. Lexology.com (free registration) (04/06)


2. Expert: Mexico adopting highly sophisticated insurance, surety rules

NASBP SmartBrief | Apr 09, 2015

An insurance and surety law taking effect in Mexico includes the debut of seguro cauciĆ³n, a product that has elements of surety bonds and insurance. The law is among the most sophisticated of its kind globally, an expert says. The law's first "pillar" deals with insurers' capital adequacy, the second with enterprise risk management and the third with market disclosure. BNAmericas.com (04/06)


3. Ariz. county hasn't called subdivision bonds, despite successor developer's urging

NASBP SmartBrief | Apr 09, 2015

The final phase of an Arizona subdivision remains unfinished because the new owner and county government are battling over whether to call $4 million in performance bonds from the bankrupt former owner. The county government says taking such action is unnecessary because the current developer has the financial ability to finish the project. An appeals court has ruled in the county's favor. Arizona Daily Sun (Flagstaff), The (04/05)


4. Ky. utility to review contracts with firm alleged to be MWBE "pass-through"

NASBP SmartBrief | Apr 16, 2015

The Metropolitan Sewer District in Louisville, Ky., since 2010 has awarded more than $6 million in subcontracts to a minority-owned firm that has been accused of serving as a "pass-through" for non-minority-owned companies, according to documents from the utility and state transportation departments. Changes the district made in 2009 are intended to prevent pass-through arrangements. The district will review its relationship with the minority-owned firm and re-examine contracts it has awarded the company, its executive director said. Insider Louisville (Ky.) (04/09)


5. Court cites several reasons why individual surety should be rejected

NASBP SmartBrief | Apr 30, 2015

A federal court recently sided with the government in a case where an individual surety was rejected as nonresponsible for bonding a federal construction project. The government's determination was based in part on the fact that the individual surety was offering an irrevocable trust receipt issued by an institution not backed by the Federal Deposit Insurance Corp. JDSupra.com (04/28)


6. Court: Recovery on bond is possible even though contractor gave no notice of default

NASBP SmartBrief | Apr 30, 2015

A federal court ruling allows a performance bond claim to proceed despite the fact that a contractor provided no written notification of default to a subcontractor. The court said the surety provider had ample knowledge of the subcontractor's default because it had participated in the subcontractor's bankruptcy proceedings and had made claims against the subcontractor for losses on other bonds. JDSupra.com (04/24)


7. Group disputes that MBEs have fair share in Md. casino construction

NASBP SmartBrief | Apr 30, 2015

The head of a company building a $1.2 billion casino in Prince George's County, Md., said that minority-owned firms have won nearly one-third of the project's contracts. A group of local businesses suing the company alleges that a great deal of the work has gone to a single firm that is misrepresenting itself as a minority-owned contractor. Washington Post (tiered subscription model), The (04/21)


8. Suit alleges that Vt. co-op failed to pay surety remaining contract balance due

NASBP SmartBrief | Apr 09, 2015

Brattleboro Reformer (Vt.) (04/02)


9. Lack of bond could lead to higher costs for project in N.M.

NASBP SmartBrief | Apr 16, 2015

Rio Grande Sun (Espanola, N.M.) (04/09)


10. Officials of Maine town reject contractor's bid over failure to provide bond

NASBP SmartBrief | Apr 16, 2015

The Board of Selectmen in Dresden, Maine, rejected a snowplowing-contract bid because the contractor did not submit a required bid bond. The contractor said he thought a bond wasn't due until after a bid was chosen. The board chairman said the contractor appeared to have misunderstood that he had to submit a bid bond along with the bid and then a performance bond were his bid selected. Wiscasset Newspaper (Maine) (04/10)




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