American Surety Company of New York v. Axtell Company.

Summary

The Texas Supreme Court answered four certified questions concerning the applicability and effect of the 1927 amendment to Art. 5160 on a surety bond. It held that the amendment applies to the suretyship contract, does not impair the contractual obligations, does not operate retrospectively, and therefore the surety company is not liable to the material supplier. The Court adopted the Commission of Appeals' answers and ordered the questions so answered.