With no explanation, chose the best option from "A", "B", "C" or "D". who would otherwise not be liable in the absence of a contractual attorney fee provision. This is because the surety has an implied (and usually, as here, an express) contractual right to indemnification for any costs it incurs as a result of the principal’s default. Stearns, supra, § 280 (a surety has an implied contractual right to indemnification from principal for any payment made to the creditor). Applying Olympic Steamship fees to litigation arising from performance bond claims may be unjust to the principal, who must ultimately pay the attorney fees, yet has no control over the surety’s decision to honor the claim. ¶78 The majority compounds its error by permitting an award of attorney fees against the surety in excess of Cal. App. 3d 949, 249 Cal. Rptr. 150, 153 (1988) (<HOLDING>); In re Guardianship of Davison, 31 Wn. App.

A: holding that recovery of attorney fees is limited to penal amount of the bond absent contractual provision to the contrary
B: holding that the obligee may recover attorney fees as an element of damages only up to the limit of the penal amount of the bond
C: holding that obligee may recover attorney fees as provided in subcontract so long as total recovery does not exceed penal amount of the bond
D: holding attorney lacked standing to challenge amount of attorney fees awarded plaintiffs not parties to the appeal
A.