# Iowa Subcontractor Sues Surety Over Miller Act Claim

On October 28, 2026, Dubuque Barge and Fleeting Service Company (Newt Marine Service) filed a Miller Act suit against payment-bond surety Atlantic Specialty Insurance Company, alleging it was not paid for $453,263.68 of work on the U.S. Army Corps of Engineers’ Lock 11 Mooring Cell project in Dubuque, Iowa. The complaint seeks the alleged unpaid amount, interest, and costs; the allegations have not been tested in court. The dispute concerns the prime contract, W912EK24C0037, and a related subcontract for barge services, dredging, and stone delivery and placement.

- Federal construction primes, subcontractors, and sureties should treat the case as a reminder to maintain clear payment records and established processes for handling payment-bond claims under the Miller Act.
- The dispute concerns an alleged unpaid subcontract balance, not a newly announced procurement opportunity or a finding of liability. Contractors should distinguish allegations in a complaint from adjudicated facts when assessing project or counterparty risk.
- The project team and its subcontractors can use the dispute to review how subcontract payments, supporting work documentation, and responses to bond claims are tracked on federal construction projects.

**Jurisdictions:** federal
**Industries:** Construction & Infrastructure
**Topics:** Regulatory Compliance, Physical Infrastructure
**Published:** October 29, 2026

### Government Entities
- U.S. Army Corps of Engineers (USACE)
- U.S. District Court for the Northern District of Iowa

### Vendors
- Dubuque Barge and Fleeting Service Company (Newt Marine Service) (subcontractor)
- Pontiac Drywall Systems (prime contractor)
- Atlantic Specialty Insurance Company (payment bond surety)
- Intact Financial Corporation (parent company of the surety)

### Sources
- [Intact unit hit with Miller Act suit after sub alleges total non-payment | Insurance Business](https://www.insurancebusinessmag.com/us/news/risk-compliance-legal/intact-unit-hit-with-miller-act-suit-after-sub-alleges-total-nonpayment-595519.aspx) - Insurance Business