Toll Free: 866-430-3322 7:30AM - 4:30PM MST
What is A Court Bond?
Generally speaking, court bonds, also known as Judicial Bonds, protect against a loss to the court or opposition. By definition, court bond refers to any court ordered bond. There are many types of bonds with different underwriting criteria.
Types of Court Bonds
- Appeal Bond
- Injunction Bond
- Custodial / Guardianship Bond
- Probate / Executor Bond
When a court makes a financial judgment and an appeal has been made, the court will order an appeal bond to be in place to protect the original financial judgment. This is for two reasons. One to guarantee the awarded party payment if the appeal is lost, and two is to hopefully stop time-wasting appeals.
An Injunction is a good example of a plaintiff bond. This is where the court stops another from continuing an action in question.
Custodial / Guardianship Bond
These bonds are required of the appointed guardian of assets benefiting an incapable person or entity. Often times you will see this when a minor’s parents have passed and assets have been left to the minor. The bond guarantees that the responsible party (new guardian or responsible adult/facilitator of the assets) will manage those assets in the minor’s best interest until an adult. These bonds can also be used for any incapable situation. The physically or mentally incapable, elderly or other reason for a court to deem someone incapable of correctly managing their own assets is a few examples.
Probate / Executor Bond
Probate bonds are required by the person who has been given the responsibility to distribute assets of one’s estate. There is an assumed fiduciary responsibility by the executor and this bond is to protect the estate’s assets from misuse.
FAQs About Court Bonds
What is the purpose of a court bond?Court bonds are judicial surety bonds that ensure protection from any loss in a court proceeding. Court bonds are typically required for plaintiffs rather than defendants but on occasion can be required by a defendant and can be used for a company as a whole or an individual's protection. Some court bonds are required by the state as well depending on the specific bond type.
What is the cost of a court bond?Court bonds range in premiums based on the principal's personal credit score. Credit scores of 700 or above will typically have a 1%-3% premium due before receiving the bond while those with a credit score below 700 will typically have a premium of anything over 4%. There are, however, some court bonds that have a fixed rate which means each applicant would pay the same amount.
What is the difference between a defendant bond and a plaintiff bond?Court bonds can be split into two categories: Defendant Bond and Plaintiff Bond. A plaintiff bond protects the defendant financially should the plaintiff lose the court case. The bond will ensure that the plaintiff is responsible for any damages the defendant incurs as a result of the court proceeding. The defendant bond, a bail bond or appeal bond, for example, ensures that the plaintiff cannot try to satisfy a claim.
Will each court bond have different terms and qualifications?Yes, each court bond will have a different set of terms and qualifications. The length of the court proceedings, the specific court bond type, and the surety-specific terma and agreements will all be factors that affect the bond terms. Usually, a court bond will be issued between 1-4 years. The surety Place can help decipher how long your bond term needs to be and can get you the best rate for your specific court bond.
Request Your Court Bond TODAY
The Surety Place - Tour Solution for Court Bonds
While we are located in Phoenix, AZ, we are capable of writing any bond in ALL 50 states. With a team of people who have over 50 years of combined surety experience, we can handle all of your bonding needs. Whether it is a court bond or a contract bond, our team has the solutions for you and your business. As small business owners ourselves, we know the importance of creating lasting working relationships with our clients. We get to know you and your business so that we can better provide you with the right answers every time. Our team is dedicated to helping each of our clients get the bonds they need FAST.
National Capabilities with a Hometown Feel
We make sure that you feel like you are working with friends. When other sureties treat you like just another number, we make sure that you know how valued you are as a client. Here at The Surety Place, we have made it our mission to say yes when everyone else has told you no. As one of the only true specialists within the industry, we supply access, partnerships and specialty programs with numerous “A” rated sureties across the nation. We are here to help you service all your bonding needs with no appointments or contracts necessary.
Because of our industry knowledge and expertise coupled with our ever-increasing specialty programs, we have the unique ability to write your bonds when no one else can, and because of our relationship with you, we will stand behind you in support to achieve your agency or business objectives.
Ready to Chat?
Our team is available to help answer all of your questions about court bonds or any other bond type you may need. Call today to get your bonding process started!