Claims against the $25,000 contractor's license bond are generally handled how when total claims exceed the bond amount?

Explanation

B&P §7071.11(a) caps the surety's exposure at the face amount of the bond and provides that if the bond is insufficient to pay all claims in full, it is distributed to all claimants in proportion to their respective claims; the surety's aggregate liability on wage and fringe-benefit claims is separately capped at $4,000. (a) applies a first-in-time rule the statute does not use, which is why racing to file buys a claimant nothing. (b) misunderstands suretyship — the penal sum is the ceiling, which is why a $25,000 bond is thin protection on a large job. (c) puts the choice with the principal, when the statute fixes it.