Insurers Pursue Firms Over Disputed Bond Indemnity Signatures
Real estate owners face liability for construction bonds if they cannot prove signatories lacked legal authority.
Updated on Oct. 30, 2026 in Construction
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Westchester Fire Insurance Company is suing Solil Management and Greater Emanuel Baptist Church to recover $250,000 in costs and fees. The lawsuit centers on a disputed indemnity agreement signed in 2018 for a Harlem construction project.
Why it matters
The case highlights the operational risk of unauthorized contract signatures in real estate development, as companies face financial liability for agreements allegedly signed without proper corporate authorization.
Westchester Fire Insurance Company seeks to recover $150,000 in settlement costs and over $100,000 in legal fees. The insurer claims these funds are owed under a 2018 indemnity agreement for a construction project at 2226 Third Avenue.
The players
Westchester Fire Insurance Company
A subsidiary of global insurer Chubb that provides surety bonds for construction and development projects.
Solil Management
A real estate management firm involved in property operations and development in New York City.
Greater Emanuel Baptist Church
A religious institution involved in property holding and real estate ventures in Harlem.
Brandon Miller
A former associate who allegedly signed binding indemnity agreements for multiple real estate entities.
The details
Westchester Fire, a Chubb subsidiary, issued a mechanic's lien bond for a life sciences building in Harlem. The insurer is now suing the entities named in the document, Solil Management and the Greater Emanuel Baptist Church, to recoup costs. The defendants argue the agreement is void because Brandon Miller, who signed the document in 2018, lacked the legal authority to bind them to the contract.
Timeline
2015: REEC assumed the leasehold at 313-315 West 125th Street.
March 2018: REEC signed a ground lease at 325 East 118th Street.
2018: The disputed indemnity agreement was allegedly signed.
July 2024: Brandon Miller died.
Market Landscape
The dispute underscores the high stakes of verifying signatory authority in New York real estate development. This case highlights common challenges for projects operating under the requirements of New York Lien Law article 3A regarding bond and lien procedures.
Operators should implement strict internal controls for signatory authority to prevent unauthorized individuals from binding the business to indemnity agreements. Review current bond documents and verify that all current signatories have explicit, recorded corporate authorization.
The takeaway
The case serves as a warning that companies can be held liable for bond agreements if they do not maintain updated records of authorized signatories. Owners should audit all existing indemnity and surety agreements to confirm they match current corporate authorizations.
Further reading
For more on local development risks, see Construction trends in New York City.
Source note: This article includes information reported by The Real Deal New York.
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