Bonds
A bond is a written agreement providing for monetary compensation in case of the failure to perform specified acts within a stated period. The Surety guarantees the performance of the Principal (a third party) to the Obligee. Need a bond? Give us a call at (516) 484-5200 today!
A bond is typically composed of four things:
- An insuring clause
- The reason for the bond and what it guarantees
- A surety guarantee that says the surety will pay if the principal doesn’t perform or is unfaithful (fidelity bond)
- Other provisions that explain how claims are reported, how to terminate the bond, and other conditions or terms.
License and Permit Bonds
Many businesses require licenses to engage in certain activities, and in many cases these licenses require bonds as a condition. These license and permit bonds guarantee that the licensee will conform to the ordinances or laws relating to the business in which they are engaged.
Fidelity Bonds
Fidelity bonds protect employers from losses incurred because of dishonest acts by bonded employees.
Fiduciary Bonds
Fiduciary bonds guarantee honest accounting and faithful performances of duties by administrators, trustees, guardians, executors, and other fiduciaries.
Court Bonds
Court bonds are a general category that includes all bonds requiring for participants in a lawsuit that allow them to pursue certain remedies in court.
Public Official Bonds
Public official bonds guarantee taxpayers that public officials will faithfully and honestly perform the duties of their office.
