A general classification of bonds that refers to all bonds other than contract and performance bonds.
License and Permit Bonds
License and Permit Bonds are required to obtain a license or permit in many cities, counties, states or other political organizations. Usually are required as a condition to granting licenses related to selling consumer products such as motor vehicles or providing contracting services, including the payment of certain taxes and fees or providing consumer protection.
Public Official Bonds
A Public Official is a person who holds public office. Public Official Bonds protect against dishonesty and lack of faithful performance by a public official. These bonds are required by statutes and ordinances. These bonds are offered as Individual, Name Schedule, Position Schedule, Blanket and Blanket position bonds.
Court and Fiduciary Bonds
Court bonds are required in some action of law and generally are listed as Plaintiff and Defendant bonds. Court bonds include injunction, appeal, and indemnity to sheriff, mechanic’s lien, attachment, replevin and admiralty.
A fiduciary is a person appointed by the court to handle the affairs of another person who is unable to do so. Fiduciaries are often required to post a surety bond to protect against un-faithful performance of their duties. Fiduciary Bonds also referred to Judicial and Probate Bonds (administrators, executors, guardians, trustees of a will, liquidators, receivers, and masters judicial proceedings.)
Bankruptcy Trustee Bonds which provide protection to the beneficiaries of the bankruptcy action that the bonded trustees, appointed in a bankruptcy proceeding, will perform their duties and handle the affairs according to the rulings of the court. Common types of bankruptcies are:
- Chapter 7: calls for the “liquidation” of a business and allows for the sale of the assets to pay outstanding debts.
- Chapter 11: calls for the “reorganization” of a business and the debtor remains in possession of the assets after the filing of a plan for the reorganization.
Miscellaneous Bonds
Miscellaneous Bonds are those which do not clearly fall within the scope of other bond classifications. Some may be required by law with conditions discretionary with approving authorities and others may be purely voluntary bonds or undertakings with conditions prescribed by or acceptable to the obligee.
