Home>Levelset Community>Legal Help>Would Lindsay (us) be covered under a bond that states it covers "principal or subcontractor in the construction of the work, including labor, service, and furnished materials"?

Would Lindsay (us) be covered under a bond that states it covers "principal or subcontractor in the construction of the work, including labor, service, and furnished materials"?

IndianaBond Claims

The bond on account is RS-40584-A-- Lindsay is leasing their equipment. Milestone is the Prime contractor, E & B paving ( is whom we are leasing to) is the sub contractor and Lindsay (us) would be the supplier or the material supplier to the sub contractor (E and B Paving)--- are we covered under the performance bond?

1 reply

May 2, 2019

That's an interesting question, and I think laying out the bond claim rules for public projects Indiana should help clear things up here. I'll assume you're referring to the project's payment bond rather than the performance bond since the performance bond is generally posted for the benefit of the public entity. In Indiana, the prime contractor's payment bond provides protection for the subcontractors and suppliers hired directly by the general contractor, and it also provides protection for the subs and suppliers hired by the subs/suppliers of the GC. So, for a material supplier hired by the general contractor's direct sub, the project's payment bond would provide protection.

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