Contractor Fails to Complete Work

Contractor Fails to Complete Work

Atlantic, Ia., has begun suit against the Bankers’ Surety Company of Cleveland. O., for $27,279.93 for the failure of Joseph A. Bortenlanger, the contractor who was to build the new municipal light and water plant, to complete the same. Mr. Bortenlanger gave bond for $49,000. which was the contract price for the erection of the plant, with the Bankers’ Surety Company as sureties. When Mr. Bortenlanger failed and could not carry out his contract the bonding company did not come forward and complete the plant as the bond provided. Instead the company refused either to confess or to deny their liability under the terms of the bond. After the work on the plant had been stopped for some time the city took up the work and has carried it to successful completion. It has been necessary, however, to spend about $5,000 in excess of the contract price and besides the city is now being sued for the money for the machinery for which Bortenlanger has already been paid, but for which the various companies claim Bortenlanger did not pay them. The city has already spent $47,990.93 on the plant, and the contract price was $43,000 and the machinery at the old light plant which was put in at $6,000. Mr. Bortenlanger has been made a party to the action and the case will be hard fought.

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