Understanding Surety Bonds in Hudson NY

by | Nov 19, 2019 | Uncategorized

Need a surety bond? There are several types of bonds that fall under the surety bond umbrella, from bail bonds to get someone out of jail to bonds to protect a business or contractual relationship. Knowing what type of bond is needed simplifies and speeds up the process of obtaining surety bonds in Hudson NY.

What Is a Surety Bond?

A surety bond is a three-party contract. The surety promises the obligee that the principal will perform according to the terms of the agreement. If the principal fails to meet his or her contractual obligations, the surety is responsible to the obligee. Depending on the terms of the agreement, the principal may also be responsible to the surety if the principal fails to perform the terms of the contract, or even if another party fails to perform the terms of the contract.

Who Can Be a Surety?

In many locations, a person must have special qualifications or license to act as a surety. This is done as a way to make sure sureties can fulfill the financial obligations that will result if a principal fails to perform according to the terms of the agreement. Not all types of sureties can guarantee all types of bonds. Instead, bonds may require industry-specific sureties with special qualifications.

Are Bail Bonds Surety Bonds?

Bail bonds are a type of surety bond. With a bail bond, the bail bondsman is the surety, the obligee is the court, and the principal is the defendant. However, the unique thing about bail bonds is that there may be a fourth party to the surety agreement. The person paying the bail bond fee or putting up collateral for the bail bond may not be the defendant, but a family member or loved one. However, that party will be responsible to the surety if the defendant fails to appear at court or comply with other conditions of release.

How to Get Bail Bonds

To get bail surety bonds in Hudson NY, a person needs to hire the services of a special surety known as a bail bondsman. Get more Information about the bail bonds process by contacting them.