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FIRST HUTCHINGS-SEALY NAT. BANK v. AETNA CAS. & SURETY CO.

No. 16588.

532 S.W.2d 114 (1975)

FIRST HUTCHINGS-SEALY NATIONAL BANK OF GALVESTON, Appellant, v. AETNA CASUALTY & SURETY COMPANY et al., Appellees.

Court of Civil Appeals of Texas, Houston (1st. Dist.).

Rehearing Denied January 8, 1976.

Attorney(s) appearing for the Case

Levy, Levy, Coughlin & Withers, Lawrence M. Coughlin, Galveston, for appellant. Bailey, Williams, Westfall & Fowler, James A. Williams, Dallas, for appellees.

EVANS, Justice.

We are here concerned with the priority of a surety under a contractor's payment and performance bond as against a bank which is the holder of a perfected security interest under assignment from the contractor.

On March 16, 1971, Central Texas Plastering Company, Inc., d/b/a Aztec Construction Company, a business owned by John M. Dooley (hereinafter collectively referred to as Contractor), entered into a construction contract with the Board...

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