We filed a claim on a bond for a company that walked away from a job, they did not file bankruptcy, they just sent a letter stating they were going to walk away from the job and the owner agreed. We had been sitting on this job waiting for finish the last portion of this work for months when they walked way so we had no recent work completed, but they owed us retention on what we had already done. They asked for final billing when they sent the letter, we sent it, we did not hear back so we filed the claim on the bond, that was in July. They are now asking for proof of claim and documentation in support of our claim. What are they asking for? There is no bankruptcy filing and we sent them copies of invoices, the pre-lien, and the confirmation of delivery of the pre-liens. We've never filed a claim on a bond, and we've never filed a claim on a job that did not file bankruptcy so we are at a loss.
The proof of claim is exactly that, a narrative supported by documentation demonstrating to the surety the validity of your claim. If the surety is satisfied and the proof of claim is uncontested, it should pay out. If the claim is contested, the GC will then have to provide documentation refuting your claim. But keep in mind that as long as the GC contests your claim for a conceivably valid reason, the surety will withhold payment until the dispute is resolved.
I assume that you are referring to a payment bond. Keep in mind that on a private project you have 6 months from project completion to file an action on the payment bond if it is recorded. If not recorded, you have 4 years.
If you require legal assistance, email me at ryan@huntortmann.com for a free consultation.
It sounds like they’re asking for backup to prove that you did the work. This would include copies of your subcontract, material invoices, time sheets, etc. which would show that you did the work. As a subcontractor, the maximum that you recover under the bond is $7,500. I don’t know if you’re owed more than that. The general contractor would be responsible to pay you the rest.