Definitions for "Bid Bond"
A guarantee that the contractor will enter into a contract, if it is awarded to him, and furnish such contract bond (sometimes called "performance bond") as is required by terms thereof.
Bonding company guarantee that the winning bidder will go into contract and supply performance and payment bonds.
A form of bid security executed by the bidder as principal and by a surety.
Security posted by a bidder to ensure performance in accordance with a bid.