What Is A Surety Bond?

What Is A Surety Bond? A surety bond is a legal agreement involving three parties; the principal (contractor), the employer (obligee), and the surety/guarantor. These bonds can provide financial protection for the employer in the event that the contractual obligations, as detailed in the bond wording and contract, are not fulfilled. This article will tell…

When Can I Release A Performance Bond?

When Can I Release A Performance Bond? A performance bond is released when all the underlying covenants within the bond wording and associated contract are satisfied. This is usually when practical completion (PC) of the contract is achieved, or at the end of the making good of defects (MGOD) period. In this article we will…

How Long Does A Performance Bond Last?

How Long Does A Performance Bond Last? When taking out a performance bond, many contractors may wonder about their validity period, and when they expire.    The duration of a performance bond varies and is greatly dependent on how long it takes the contractor to achieve practical completion or making good of defects. Some performance…