The defendants appealed, but the appellate court affirmed the lower court’s decision. The judges pointed to New York law, which says a surety is entitled to indemnification upon proof of payment—unless the payment was made in bad faith or was unreasonable in amount. In this case, Liberty Mutual submitted the indemnity agreement, documents showing the bonds were issued, records of payments to claimants, and an affidavit from a regional vice president with an itemized list of payments. The court found this evidence sufficient. The defendants, meanwhile, failed to raise any factual dispute.