But the Secretary of War is not empowered to release the sureties on a disbursing officer's bond. Card 667, November, 1894. 555. If after the execution of a bond a material change be made in the name or description of the principal, by erasure, interlineation, or otherwise, without the assent of the sureties or a surety, even though such change be made to correct a mistake, the surety or sureties not consenting will be released. In a case of such an alteration, rècommended that a new bond be required. 35, 283, September, 1889; 57, 41, December, 1892; 58, 400, March, 1893. Similarly held, where the name of one of two sureties was erased and a new surety was substituted without the consent of the remaining surety, and recommended that the written assent of the latter to the erasure and substitution be obtained. Card 1262, May, 1895. 556. The giving of a new bond by a disbursing officer--both the old and the new bonds being conditioned to become void if he should "henceforth during his holding and remaining in said office carefully discharge the duties" of said office, i. e., the office of commissary of subsistence with the rank of Major-would operate to divide the responsibility as to future transactions between the old and the new sureties but it would not release the old sureties. Cards 667 and 674, November, 1894; 733, December, 1894. 557. The official bond of a disbursing officer being in terms limited to the office he held at the time he gave it, becomes inoperative upon the promotion of such officer to a higher grade. He thus enters upon a new office and a new bond is required. The old bond remains, however, a valid obligation to cover any defaults which may subsequently be found to have occurred between the dates of its execution and the date of the officer's promotion. Card 1999, June, 1896. 558. Where certain disbursing officers-commissaries of subsistence-were promoted during a recess of the Senate, received their letters of appointment, accepted and qualified thereunder, held, that by so doing they ceased to hold their old offices and became invested with the new offices (the terms of which were limited to the end of the next session of Congress), and that therefore under Sec. 1191, Rev. Sts., and A. R. 571 (650 of 1901), new bonds should be given. And further 'Brandt on Suretyship and Guaranty, second edition, §§ 380, 381, 385. "See Digest Dec. Second Comp., Vol. 3, § 1356; American and English Ency, of Law, Vol. 24, p. 877; 5 Comp. Dec., 918. The form of official bond authorized by the Secretary of War, Dec. 14, 1895, was conditioned that the officer should at all times "henceforth during his holding and remaining in said office, until a new official bond in his case shall be approved by the Secretary of War, carefully," &c. (Card 1769); and the form authorized Dec. 31, 1900, is conditioned that if the officer "shall and do at all times during his holding and remaining in said office, from and including the date of approval of this bond by the Secretary of War thenceforth until the date of approval by the Secretary of War of a new official bond in his case, carefully," &c. (Card 9482.) held, that after the appointment, confirmation and commission of these officers new bonds would again be necessary.1 Card 3689, November, 1897. 559. Where an officer of the line was appointed captain and commissary of subsistence during a recess of the Senate, held, that in view of the provisions of Sec. 1191, Rev. Sts., and A. R. 571, he should furnish the bond required before entering upon his duties under such appointment whether or not he had resigned his line commission. Card 2775, November, 1896. 560. An officer of the subsistence department (regular establishment) was appointed chief commissary with rank of lieutenant colonel in the volunteer army and gave the prescribed bond. While serving in the latter capacity he was promoted in the subsistence department of the regular establishment. Held, that it was not necessary to require of him a bond on account of such promotion until it was proposed to place him on duty in the office resulting therefrom. 4341. July, 1898. BOND-Of Contractor or Bidder. Card 561. The general rule that bonds given to the United States should be under formal seal, applies with particular force to contractors' bonds. XXVIII, 680, June, 1869. 562. Where a contractor offered a bond, subscribed, as sureties, by his two daughters, whose ages, as well as pecuniary relations to the obligor, were not known or stated, advised that to accept such a bond would be a bad precedent. XXXIX, 518, April, 1878. 563. A bond for the faithful performance of a contract will not cover material modifications thereof, in the form of a supplemental agreement or otherwise, unless the sureties formally assent to the Card 1244, April, 1895. And recommended that such assent be obtained. Cards 858, January, 1895; 966, February, 1895; 2093, March, 1896; 2705, October, 1896; 3462, August, 1897. same. 564. A bond was executed on a certain date, and it was recited therein that the principal had on a subsequent date entered into the contract for the due performance of which the bond was given. The fact that the bond was executed before the contract was, is immaterial, but the recital is a part of the means of identifying the bond and should not be contradictory. Recommended in the particular case that to 1U. S. v. Kirkpatrick, 9 Wheat., 720; 2 Opins. At. Gen., 336; 4 id., 30. But see, now, the new form of bond, the condition of which covers both offices, until the approval of a new bond (Card 10166, April, 1901). A regulation to this effect was prescribed in G. O. 10, Hdqrs. of Army, 1879republished and amended in G. O. 72 of 1879 and 40 of 1880. And see the same orders for general regulations in regard to bonds of contractors and bidders; also paragraphs 515–578, A. R. of 1895 (593-657 of 1901). avoid in the event of a suit on the bond the necessity of resorting to outside evidence to identify the contract, a new bond be required, the latter to refer to the contract as one which will be entered into. Cards 2765, November, 1896; 3053, April, 1897; 3164, April, 1897; 3640, November, 1897. 565. Where the sureties to the bond of a contractor who had failed to perform his contract applied to be discharged from their obligation on the ground that they had been induced to enter into the bond by false representations made to them by the contractor, held that the Secretary of War had no authority, upon such or other ground, to release sureties who had become legally liable to the United States.1 XXXVII, 275, January, 1876. 566. A contractor for "personal services" is not in general required to give a bond. XXXVIII, 238, August, 1876. 567. Held, in view of the provision on the subject of the act of April 10, 1878, it was proper to require that bidders for contracts, from whom bonds were required, should properly bind themselves not to withdraw their bids within sixty days from the date of the opening of the bids. In the great majority of cases, indeed, bids will be required to be kept open but for a brief period, since the contract will generally be awarded at once or in a few days. Cases, however, may occur where, owing to questions raised as to the legality or regularity of bids, the competency of bidders, &c., a considerable delay may be incurred before the decision of the proper superior can be obtained or the difficulty be otherwise removed. It was no doubt for cases of this nature that the provision in regard to time was intended to provide. XXXIX, 628, August, 1878. 568. Under the act of March 3, 1883, c. 120, a bidder whose bid has been accepted, is required, in accordance with the terms of his guaranty, upon notice to him of the acceptance, to enter into contract and furnish bond for the proper fulfillment of its stipulations; but if such bond should not be given, and a contract should be entered into with some other person, such contract is not required, by the statute, to be accompanied by a bond. 60, 285, July, 1893. 569. The purpose of a bidder's guaranty is to furnish sufficient security that the bidder will, if his bid be accepted, enter into contract as prescribed. But the direct object is to enable the government to collect the difference between the bidder's bid and the amount the government would have to pay some one else for the supplies or work in case the bidder should not enter into contract according to his bid. The guaranty cannot be used to force him to enter into his contract; 1See 7 Opins. At. Gen., 62; and compare § 926, post. but it is valuable and essential in the event of a suit to recover such difference. It should therefore be as formal and legally sufficient as a contractor's bond, and prepared with a view to serving as a basis for a legal claim by suit if necessary. 56, 412, November, 1892. There is no statute requiring such a guaranty, but under the act of March 3, 1883 (22 Stat., 488), the Secretary of War may require one. Card 9061, October, 1900. 570. The giving of bonds to secure the performance of contracts made for furnishing supplies, doing work, &c., for the War Department is not required by statute, but is a subject of administrative regulation. So, where the amount involved in a contract for commissary stores was small, advised that the Commissary General be authorized to approve the contract without a bond. 16, 167, April, 1887. So, advised that the Secretary of War was empowered to dispense with bonds to secure the performance of contracts for furnishing meals to recruiting parties and recruits; he being indeed authorized to dispense at discretion with all contractors' bonds, where such are not specifically required. 65, 233, June, 1894. 571. A bond to secure the performance of a contract is valid to secure the performance of any such modifications of the stipulations as are authorized by the terms of the contract itself, but will not cover modifications not thus authorized and which substantially make of the stipulations a new contract. 54, 7, 162, May and June, 1892. 572. Where a contract of lease was secured by bond and the lessee applied for a material delay in making payment of the rent, held that to grant such application would discharge the sureties unless they gave their assent to the delay, and recommended that the same be not acceded to without their consent to the arrangement. LVI, 196, May, 1888. 573. There can be no legal authority, after a contract has been completed, for assigning the bond to creditors of the contractor (whom he owes for materials furnished him) to enable them to sue him upon it in the name of the United States. 61, 16, August, 1893. 574. Held that a member of Congress may legally be accepted as surety on a contractor's bond to secure the fulfillment of a contract with the United States, his acting as such not being precluded by the provisions of either Sec. 3739 or 3742, Rev. Sts. XLIX, 377, October, 1885. 'The act of Aug. 13, 1894 (28 Stats., 278), directs that bonds shall be required with formal contracts for the construction of, or repairs upon, public buildings and public works, and that such bond shall contain a provision that "the contractor or contractors shall promptly make payments to all persons supplying him or them labor and materials in the prosecution of the work provided for in such contract." 2 See par. 559, A. R. (638 of 1901), as to the cases in which such bonds may be waived. 3 Murfree, Official Bonds, § 316. But see the recent legislation of Aug. 13, 1894, cited in note to § 948, post. BOND-Of College, &c., as required by Sec. 1225, Rev. Sts. 575. A bond executed in his official capacity by the president or other officer of an incorporated college or university, to secure arms, &c., issued under this section, cannot properly be accepted as binding the corporation without evidence that, by the act of incorporation or otherwise, such officer is legally empowered to act for and bind the institution. XLI, 499, February, 1879; 647, August, 1879; XLIII, 70, October, 1879; 275, 294, April, 1880. 576. The obligor and sureties should be bound without condition or reservation. Where a bond offered by a college contained a provision to the effect that to satisfy any liability incurred thereunder, recourse should be had to the property of the college before the property of the sureties was resorted to, advised that such bond be not accepted by the Secretary of War. XXXVIII, 340, October, 1876. 577. No form for the bond being prescribed in the statute, the Secretary of War may, if he deems the security ample, accept a bond with one surety, or he may even accept the bond of the corporation without sureties. In general, however, it will be safer to require sureties; such a requirement being also in accordance with the general rule governing bonds given to the United States. Sureties to bonds given ́by colleges should in general be required to justify in the usual manXXXIX, 312, November, 1877. ner. 578. Though bonds in which the corporation controlling the institution is principal have usually been tendered under the statute, the same are not essential. The bond of an individual as principal-the president or other officer of the institution or other person in a private capacity-may properly be accepted if the security is deemed sufficient. XLII, 598, April, 1880. 579. The bond offered by a college, &c., pursuant to Sec. 1225, Rev. Sts., must be executed by the proper obligor and legal principal. If executed by a corporation as such, the name as signed must be the corporate name, i. e. the same as that given in the articles of incorporation expressed in full. 42, 113, July, 1890; 62, 460, December, 1893; 63, 117, January, 1894; 65, 38, May, 1894. Where the corporation, as created by the legislature, is a body of persons, as "Trustees," or "Board of Trustees," or "Regents," &c., the bond must be executed in the corporate name of this body by some one duly authorized thereby, and not in the name of the "college" or "university," the latter being merely an institution of learning or property, having no legal existence as a person. 29, 461, January, 1889; 30, 304, February, 1889; 48, 226, July, 1891; 49, 158, September, 1891; 58, 7, February, 1893; Cards 28, July, 1894; 2038, February, |