Court Opinion

ID: 9852209
Source: CourtListenerOpinion
Date Created: 2023-09-24 05:26:40.039175+00
Date Added: 2024-06-11T09:22:24.263847
License: Public Domain

SCHROEDER, Presiding Judge,
specially concurring:
I agree with the majority that the $2,000 bond did not cover this contract. This is because the trial court found that the principal on the bond was a corporation, and the contracting entity was an individual. There is no indication that the bond was intended to cover anything other than contracting activities of the corporation.
I do not join, however, in the majority opinion’s suggestion that the bond was of no effect whatsoever until the contractor’s license had actually issued. I see nothing in our statutes which prohibits a contractor from obtaining a bond prior to being licensed, and such a prohibition would not in my view facilitate the statutory policy of protecting the public. Doubtless the surety and the principal could by contractual agreement provide that the bond would not be effective until the issuance of a license. In this case, in my opinion, there is no basis for finding that the parties made such an agreement, and certainly the trial court made no such determination.