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AMERICAN SURETY CO. v. WESTINGHOUSE ELECTRIC CO.

No. 12.

296 U.S. 133 (1935)

56 S.Ct. 9

80 L.Ed. 105

AMERICAN SURETY CO. v. WESTINGHOUSE ELECTRIC MANUFACTURING CO. ET AL.

Supreme Court of United States.

Decided November 11, 1935.

Attorney(s) appearing for the Case

Mr. Hugh H. Obear, with whom Messrs. Francis B. Carter and Charles A. Douglas were on the brief, for petitioner.

Mr. Edward H. Cushman, with whom Mr. William Fisher was on the brief, for respondents.

MR. JUSTICE CARDOZO delivered the opinion of the Court.

A contract for drilling a well at the Naval Air Station at Pensacola, Florida, was made in November, 1930, between Melton J. Gray and the United States Government. It was drawn in the standard form. Payments were to be made in accordance with approved estimates during the progress of the work, but the contracting officer was required to retain 10% of the estimated amount "until final completion and acceptance...

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