Indemnity Agreements and Sureties

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In Auto-Owners Ins. Co. v. Classic Carpet & Tile, Inc., 2009 WL 350750 (S.D. Fla. 2009), a surety sued indemnitors under an indemnity agreement for losses resulting from the issuance of a payment and performance bond.  The indemnitors, in their individual capacity, argued that the company had been sold to a third party and that they did not request the bond.  The Court held that the indemnity agreement bound the indemnitors and that they were liable for the debts incurred by the company. 


Trenton H. Cotney
Board Certified in Construction Law
Trent Cotney, P.A.
1207 N Franklin St, Ste 222
Tampa, FL 33602
(813) 579-3278

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