Our LLH bond team specializes in contract and commercial surety bonds for a wide variety of industries. We have strong relationships with some of the leading surety companies and can provide you with the right combination of service and price.
Construction — a construction bond is guaranteed by a third party (insurance company or surety) to finalize construction in accordance with the terms of the contract in the event the contractor fails to perform according to the terms of the contract.
Types of Construction Bonds:
- Bid bonds provide a financial guarantee that a bid has been proposed in good faith. When a surety issues a bid bond to a contractor, they are assuring the contractor will enter into the contract at the bid price. It supports that the contract is qualified for the necessary Performance and Payment bonds.
- Payment bonds guarantee the contract will pay the suppliers, laborers, and subcontractors involved in the project.
- Performance bonds are required by the obligee (owner) to insure against loss in the event the contractor (principle) is incapable of performing the contract according to its terms and conditions.
- Maintenance bonds guarantee against faulty workmanship and materials for a specific period of time.