Arbitration and Miller Act Claim


In U.S. for the use of Postel Erection Group, L.L.C. v. Travelers Casualty and Surety Company of America, Case No. 6:12-cv-182 (M.D. Fla. June 28, 2012) a second-tier subcontractor sued the sureties on the prime contractor’s Miller Act payment bond. The first tier subcontractor was engaged in arbitration with the prime contractor, and the sureties moved to stay the Miller Act suit pending the outcome of the arbitration. The court granted the sureties’ motion based on its inherent power to control its docket and the interests of judicial economy. The court noted that there was a “murky” but close relationship between the first tier subcontractor and the claimant but did not depend on that relationship in granting the motion.  (from RPPTL Surety and Insurance Subcommittee).

Trenton H. Cotney
Florida Bar Certified Construction Lawyer
Trent Cotney, P.A.
1211 N Franklin St
Tampa, FL 33602
(813) 579-3278


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