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  5. 76 Cal.Rptr.2d 903 (1998)
 

CITY OF LOS ANGELES v. AMWEST SUR. INS. CO.

No. B114161.

76 Cal.Rptr.2d 903 (1998)

CITY OF LOS ANGELES, Plaintiff and Respondent, v. AM WEST SURETY INSURANCE COMPANY, Defendant and Appellant.

Court of Appeals of California, Second District, Division Seven.

As Modified August 13, 1998.

Ordered Not Officially Published October 21, 1998.

Attorney(s) appearing for the Case

Busch & Berger and Stanley Haren, Calabasas, for Defendant and Appellant.

James K. Hahn, Los Angeles City Attorney, Ronald Tuller, Assistant City Attorney and Valentin Dinu, Deputy City Attorney, for Plaintiff and Respondent.

NEAL, Associate Justice.

SUMMARY

A bonding firm issued a bond guaranteeing a contractor's promise to build public improvements in a subdivision, given in exchange for a city's promise to approve a subdivision map. The bond required payment of a specified "penal sum." The city approved the map, but the contractor failed to build the improvements, and the property passed to a new owner.

The "frustration of purpose" doctrine did not excuse performance...

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