We have noticed a significant uptick in sureties questioning 3rd party guarantees, joint ventures, and significant subcontractor relationships to federal construction.  With the concern over fronting we have noticed sureties requesting disclosure statements be presented to the contracting officers stating clearly the relationship between the  entities.  While this should not be of any concern to a legitimate business concern it is interesting how quickly this trend developed in the surety industry.  With work being hard to get and everyone looking for an advantage the surety community just wants to make sure they don’t get sucked into a questionnable dealing.  Has anyone had these disclosure statements adversely impact their business?

This entry was posted on Thursday, July 30th, 2009 at 10:26 am and is filed under Michael Strahan Blog. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.