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CITY OF TROUTDALE v. PALACE CONST. CORP.

A161879.

429 P.3d 1042 (2018)

293 Or.App. 785

CITY OF TROUTDALE, a municipal corporation of the State of Oregon within Multnomah County, Plaintiff-Appellant, v. PALACE CONSTRUCTION CORPORATION, an Oregon corporation and Insurance Company of the West, a California corporation, Defendants-Respondents.

Court of Appeals of Oregon.

September 6, 2018.

Attorney(s) appearing for the Case

Donald H. Grim, Portland, argued the cause for appellant. On the brief were Ridgway K. Foley, Jr., Charles R. Markley, and Greene & Markley, P.C. On the reply brief were Steven F. Cade, Ridgway K. Foley, Jr., Charles R. Markley, and Williams Kastner Greene & Markley.

Lawrence A. Wagner, Portland, argued the cause for respondent Insurance Company of the West. Also on the brief were Mario R. Nicholas, and Stewart Sokol & Larkin LLC.

No appearance for respondent Palace Construction Corporation.

Before DeHoog, Presiding Judge, and Egan, Chief Judge, and Aoyagi, Judge.

This is an action on a performance bond. In 2007, in connection with a proposed subdivision development, defendant Insurance Company of the West (ICW) entered into a bond contract with Palace Construction Corporation (Palace). Essentially, ICW guaranteed Palace's completion of any public improvements to which Palace and the City of Troutdale...

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