A Short Survey of Surety Bonds
Working with contractors of any kind can be stressful. It is not necessarily a matter of trust as much as it is a matter of radical contingency. Understandably, you probably want to guard against the possibility that the project might falter. Human beings have relied on suretyships since as far back as 2750 BC in the so-called cradle of civilization known as Mesopotamia. Nearly 5000 years later, surety bonds in NJ remain just as essential for protecting against a breach of contractual obligations.
Taxonomy of Bonds
There are, as you may have guessed, different kinds of bonds just as there are different kinds of potential mishaps. The following are a few of the bonds you can expect to find:
- Bid Bond
- Performance Bond
- Payment Bond
- Labor and Materials Bond
- Maintenance Bond
Of these, you might be interested in the performance bond as it offers financial protection if a contractor fails to fulfill his or her duties in accordance with the terms and conditions of the agreement. Be sure to consult an expert when choosing the right surety bond.
As you may know, surety bonds in NJ (or anywhere for that matter) are time sensitive, and thus it is important to find a company that can provide a cost-effective bond in as short a time as possible. Once again, you probably should contact a surety company that can help point you in the right direction without much delay so you can keep a tight schedule for your project.