Atty Booted From Travelers, Contractor Payment Bond Suit

Law360, Washington (August 19, 2011, 6:23 PM EDT) -- A Florida federal judge on Friday disqualified Elder & Lewis PA from representing Carles Construction Inc. in its $12.5 million payment bond suit against Travelers Casualty & Surety Co. of America, saying the law firm had privileged communications with Travelers in the underlying suit.

Carles sued Travelers over a $12.5 million bond guaranteeing performance to subcontractor Facchina-McGaughan LLC, which failed to pay Carles for work on two condominium projects. Facchina obtained a payment bond that was eventually sold to Travelers.

When Facchina failed to pay Carles,...
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