All are true if a contractor defaults on a performance contract EXCEPT
(Choose from the following options)
1. The principal's obligations end.
2. The surety will attempt to seek reimbursement from the contractor for any amounts it pays.
3. The surety may cancel the bond so as to avoid having to pay losses and expenses.
4. The obligee may hire another contractor to complete the job and have the surety repay the obligee.
