Case Name: ST. PAUL FIRE & MARINE INSURANCE COMPANY, Appellant, v. WOOLLEY/SWEENEY HOTEL # 5 and Hometels Construction Corporation, Appellees
Court: Florida District Court of Appeal
Jurisdiction: Florida
Decision Date: 1989-06-28
Citations: 545 So. 2d 958
Docket Number: No. 88-2125
Parties: ST. PAUL FIRE & MARINE INSURANCE COMPANY, Appellant, v. WOOLLEY/SWEENEY HOTEL # 5 and Hometels Construction Corporation, Appellees.
Judges: HERSEY, C.J., and DOWNEY, J., concur.
Reporter: Southern Reporter, Second Series
Volume: 545
Pages: 958–959

Head Matter:
ST. PAUL FIRE & MARINE INSURANCE COMPANY, Appellant, v. WOOLLEY/SWEENEY HOTEL # 5 and Hometels Construction Corporation, Appellees.
No. 88-2125.
District Court of Appeal of Florida, Fourth District.
June 28, 1989.
Robert A. Hingston of Welbaum, Zook & Jones, Miami, for appellant.
Christian D. Keedy of Kelley, Drye & Warren including Smathers & Thompson, Miami, for appellees.

Opinion:
PER CURIAM.
AFFIRMED. We approve the trial court's holding that the appellant, St. Paul Fire & Marine Insurance Company, was contractually bound to participate in arbitration with the owner and contractor in a dispute over a hotel construction contract for which the appellant provided a performance bond. The construction contract contained an arbitration provision, and the performance bond incorporated the construction contract by reference. In so doing the appellant bound itself to participate and be bound by the arbitration of any disputes under the construction contract. United States Fidelity & Guaranty Company v. West Point Construction Company, 837 F.2d 1507 (11th Cir.1988).
We also agree with the trial court that the performance bond in question covers any delay damages that may be due the owner under the construction contract. In so holding, we acknowledge conflict with the holding in United States Fidelity and Guaranty Company v. Gulf Florida Development, 365 So.2d 748 (Fla. 1st DCA 1978).
HERSEY, C.J., and DOWNEY, J., concur.
ANSTEAD, J., dissents with opinion.