How does a surety bond work?

Asked on February 10, 2013 under Criminal Law, South Carolina


FreeAdvice Contributing Attorney / FreeAdvice Contributing Attorney

Answered 7 years ago | Contributor

A surety bond works as a form of "insurance" where a person pays a premium for the placement of a bond for work to be done. The bond is for a stated amount. If the person who places the bond does not do the work in a manner as agreed upon, the injured party can then make a claim to the surety for payment of a portion of the bond or its full amount to him or her rather than chasing the person who failed to perform the stated work.

Good question.

IMPORTANT NOTICE: The Answer(s) provided above are for general information only. The attorney providing the answer was not serving as the attorney for the person submitting the question or in any attorney-client relationship with such person. Laws may vary from state to state, and sometimes change. Tiny variations in the facts, or a fact not set forth in a question, often can change a legal outcome or an attorney's conclusion. Although has verified the attorney was admitted to practice law in at least one jurisdiction, he or she may not be authorized to practice law in the jurisdiction referred to in the question, nor is he or she necessarily experienced in the area of the law involved. Unlike the information in the Answer(s) above, upon which you should NOT rely, for personal advice you can rely upon we suggest you retain an attorney to represent you.