Frequently Asked Questions
Q. Should the surety enter into a takeover agreement with the Federal Government after its principal has been default terminated?
A. If the surety will need to obtain jurisdiction to bring a claim against the Federal Government, then the surety may need to consider entering into a takeover agreement. Under such an agreement, the surety should expressly get the right to bring a claim under the Contract Dispute Act.
Q. How does a surety proceed jointly with its principal in pursuit of a contract balance, retainage, or additional monies?
A. Work out in advance not only a joint defense agreement, but the division of recovery and the reimbursement of fees and expenses.