MATTER OF UNION INDEM. INS. CO. OF NEW YORK


220 A.D.2d 339 (1995)

633 N.Y.S.2d 788

In the Matter of the Liquidation of Union Indemnity Insurance Company of New York Success Construction Corp., Appellant, v. Superintendent of Insurance, Respondent

Appellate Division of the Supreme Court of the State of New York, First Department.

October 26, 1995


The IAS Court properly determined that respondent was discharged from any liability to claimant, as a matter of law, under the payment and performance bond by the material alterations to the Artex subcontract made by Success and Artex, without the consent of surety Union Indemnity. A creditor and debtor may not alter the surety's undertaking to cover a different obligation without the surety's consent, and, if they do so, the surety...

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