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Surety Awarded Fees and Costs Despite Bond Principal Having Paid the Freight

Cell-Crete Corporation v. Fed. Ins. Co. (2022) 82 Cal. App.5th 1090.  Payment bond surety sought fees and costs following summary judgment of plaintiff’s claims based on bond principal’s defeat of the claims in binding arbitration.  The trial court denied fees contending the fees were paid by the bond principal and not the surety.  Finch appealed the decision, resulting in the precedent setting appellate decision holding the surety does not have itself paid the fees and costs to be awarded fees and costs as the prevailing party.

Counsel: P. Randolph Finch Jr. and Andrea L. Petray

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