Surety Seeks Panel Rehearing In Performance Bond Coverage Dispute

Mealey's (April 18, 2022, 1:52 PM EDT) -- NEW ORLEANS — A surety on April 17 filed a petition asking the Fifth Circuit U.S. Court of Appeals to grant a rehearing of its April 4 reversal of a lower federal court’s dismissal of a water control and improvement district insured’s breach of contract lawsuit seeking coverage under a performance bond for a failed construction project, arguing that there is a question of fact as to whether a 2016 agreement between the insured and the construction company amended an earlier agreement that required the construction company to post a performance bond for the project....