Surety Claims
When the Stakes Are Secured by a Bond, You Need a Legal Partner Who’s Built to Withstand Pressure.
At Irelan | Stephens, our attorneys bring a meticulous understanding of surety law to the table—backed by decades of experience in commercial litigation and construction disputes. We don’t just read the bond—we understand the broader context: the project, the contractual chain, and the pressure points that often lead to default or claim disputes. Whether you’re a national surety, a bonded contractor, or an obligee seeking performance, we provide skilled, strategic representation that helps you protect your position and resolve claims swiftly and effectively.
Surety Law is Complex. Our Approach is Clear.
Suretyship involves a three-party relationship: the surety, the principal, and the obligee. When something goes wrong, each party may interpret its rights and obligations differently—resulting in disputes over coverage, performance, or indemnity. At Irelan | Stephens, we’ve handled all sides of these disputes, which means we know how to deconstruct opposing arguments, anticipate legal tactics, and build airtight claims or defenses.
Trusted Advisors to the Surety and Construction Industries
Because our practice spans across construction law, commercial litigation, and insurance-related defense, we bring a 360-degree understanding of the dynamics at play in a surety dispute. We don’t just speak the legal language—we understand the business, financial, and operational pressures that influence outcomes.
Our work in this space has included:
- Defending sureties against multimillion-dollar performance bond claims stemming from large public infrastructure projects
- Enforcing indemnity agreements through litigation and asset recovery
- Negotiating completion strategies that salvaged stalled construction projects without full litigation
- Representing subcontractors and suppliers in disputes with general contractors and sureties
- Advising sureties and principals on handling default declarations, notice obligations, and collateral demands
Bond Claim Investigations and Risk Assessments
We assist sureties in conducting detailed pre-litigation investigations to assess claim validity, preserve defenses, and evaluate exposure. We know how to identify red flags early—such as incomplete scope documentation, payment disputes masquerading as performance issues, or attempts to shift blame for project delays.
Dispute Resolution and Litigation
When a claim cannot be resolved informally, our attorneys are prepared to litigate. We have successfully handled surety claims in both state and federal courts, including those governed by the Miller Act and Little Miller Acts. From dispositive motions to full bench and jury trials, we represent our clients with the rigor and resilience these high-dollar cases demand.
Counsel Through Project Completion
A contractor default can bring an entire project to a standstill. We guide sureties through takeover agreements, tender options, and project closeouts with a sharp focus on limiting liability and preserving salvage opportunities. We also provide counsel to obligees and owners on how to effectively invoke bond protections and complete stalled projects.
Bankruptcy and Insolvency-Related Issues
Contractor insolvency is a growing concern. We represent sureties in navigating bankruptcy-related litigation and adversary proceedings, including protecting subrogation rights and asserting secured creditor status where appropriate.
Risk Mitigation and Pre-Claim Planning
Surety law isn’t just about reacting when the bond is called—it’s about preparing before the storm hits. We advise sureties and contractors on how to structure bonding agreements, contract language, and indemnity protections to reduce the risk of disputes later on.
Why It Matters
When surety claims arise, your reputation, financial exposure, and business relationships are all on the line. Poorly handled disputes can damage credit, stall future bonding capacity, or result in expensive litigation that drains resources. At Irelan | Stephens, we help you avoid these outcomes by providing proactive advice, precise documentation, and strong advocacy.
Whether we’re helping a surety resolve a performance claim without litigation or guiding a principal through compliance with a bond’s terms, we work with one goal: to protect your financial stake while moving the project—or dispute—toward a smart resolution.
By involving our team early, clients gain the advantage of foresight, faster resolutions, and fewer disruptions to their business or project.
Bond Form Review and Customization
Many disputes arise from ambiguous or outdated bond forms. We review and draft performance and payment bond language tailored to modern project complexities and aligned with current Texas and federal standards.
Contract and Subcontract Risk Assessment
We assess indemnity clauses, notice requirements, default provisions, and flow-down terms to help sureties and principals reduce liability and ensure compliance.
Training for Claims and Legal Departments
We offer in-house training and legal briefings for underwriting teams, claims adjusters, and legal departments on evolving trends in surety litigation and enforcement.
Early Intervention on At-Risk Projects
When signs of trouble emerge—such as slow payments, subcontractor complaints, or construction delays—we step in early to evaluate legal options and reduce the risk of default escalation or bond invocation.
Proactive Risk Management for Surety and Construction Clients
At Irelan | Stephens, we believe that the best way to resolve a surety dispute is to prevent it from happening in the first place. Our attorneys routinely work with sureties, contractors, and project owners in the early stages of contract formation and project development to identify legal pitfalls and build protections into agreements from the outset.
Let’s Resolve Your Surety Claim the Right Way
Surety claims require more than just knowledge of the law—they demand insight, speed, and experience in the real-world application of bonds in construction and commercial settings. At Irelan | Stephens, we offer all three.
Contact us today to schedule a consultation and put a seasoned surety law team to work for you.
When your reputation, resources, and results are on the line—trust a legal team that’s built to protect all three.
Schedule a Consultation Today
"*" indicates required fields
