Opinion
No. 574 MAL 2022 No. 609 MAL 2022
11-07-2023
EASTERN STEEL CONSTRUCTORS, INC., Respondent v. INTERNATIONAL FIDELITY INSURANCE COMPANY, Petitioner Eastern Steel Constructors, Inc., Cross-Petitioner v. International Fidelity Insurance Company, Respondent
Petition for Allowance of Appeal from the Order of the Superior Court
ORDER
PER CURIAM
AND NOW, this 7th day of November, 2023, the application to strike at 574 MAL 2022 is DENIED, and the Petition for Allowance of Appeal at 574 MAL 2022 is GRANTED, LIMITED to the issues set forth below. Allocatur is DENIED as to all remaining issues. The issues, as stated by Petitioner, are:
(1) Whether a surety is liable for attorneys’ fees and/or contractual interest un- der the terms of a payment bond that covers only labor, materials and equipment?
(2) Whether a surety is bound by a default judgment entered in an arbitration to which the surety was not a party and despite a provision in the bond specifying that litigation against the surety will proceed in a court of law?
The Cross-Petition for Allowance of Appeal at 609 MAL 2022 is GRANTED, LIMITED TO the issue set forth below. Allocatur is DENIED as to all remaining issues. The issue, as stated by Cross-Petitioner, but edited for clarity, is:
Whether Pennsylvania’s insurance bad faith statute, 42 Pa.C.S. § 8371, applies to surety contracts/policies issued by insurance companies?