Bond posted by a bidder to ensure performance.
An insurance agreement, accompanied by a monetary commitment, by which a third party (the surety) accepts liability and guarantees that the bidder will not withdraw the bid, the bidder will furnish bonds as required, and if the contract is awarded to the bonded (insured) bidder, the bidder will accept the contract as bid, or else the surety will pay a specific amount. Also, bid guarantee.
A type of surety bond wherein the surety company guarantees the bidder will enter into a contract and furnish the required payment and performance bonds.
Sometimes required by a developer from a contractor submitting the lowest bid on a project. If the contractor subsequently refuses to undertake the project, then the bid bond will pay the developer the difference between the lowest and the next lowest bid. Its aim is to ensure contractors make serious bids.
A type of indemnity bond. A surety guarantee often required to be established by a bidder to guarantee fulfillment of his offer if accepted.
An instrument provided by the surety guaranteeing that the surety will deliver a contract performance bond if a contractor's bid is accepted.
Bond, guarantee, or standby letter of credit that accompanies a bid, issued for an amount that will be forfeited if the bidder wins the bid but then reneges.
A pledge from a surety to pay the bond amount to the owner in the event the Bidder defaults on its commitment to enter into a contract to perform the Work described in the Bid Documents for the bid price
When an exporter is bidding on a foreign contract, a bid bond guarantees that the exporter will take the contract if the bid succeeds. An exporter who refuses the contract must pay a penalty equal to the amount of the bond.
a bond given to a Federal, State, County or Municipal Government agency at the time of a bid which guarantees the good faith of the Contractor (Principal), i
a bond submitted at the time of the bid on a bonded project
a guarantee of serious intent by a party bidding for a contract
a guarantee that if a bidder's tender or proposal is accepted, the bidder will enter into the contract within the time specified
a guarantee you will perform work if the bid is won by you
A bond intended to guarantee that the bidder on a construction, supply or service contract will enter into the contract if successful as a bidder. Should the bidder fail to enter the contract, the surety on the bid bond may be called upon to pay the difference between the amount of the principal's bid and the bid of the next lowest qualified bidder.
When an exporter is bidding on a foreign contract, a bid bond guarantees that the exporter will take the contract if it is awarded. If the exporter fails to take the contract, it will have to pay a penalty in the amount of the bond. A bid bond is usually requested by a foreign organization to screen out weak contenders. Your financial institution or the Export Development Corporation can assist in financing and issuing these bonds.
An obligation undertaken by a bidder promising that the bidder will, if awarded the contract within the time stipulated, enter into the contract and furnish the prescribed performance and payment bond(s).
An insurance agreement in which a third party agrees to be liable to pay a certain amount of money in the event a bidder fails to sign a contract as bid or as mutually agreed upon presentation of that contract to the bidder.
An agreement in which a third party agrees to be liable in the event the bidder fails to sign the contract as bid (if his bid is accepted). A bid deposit is similar, but the bidder must deposit cash or a certified check.
A bond issued by a surety on behalf of a contractor that provides assurance to the recipient of the contractor's bid that, if the bid is accepted, the contractor will execute a contract and provide a performance bond. Under the bond, the surety is obligated to pay the recipient of the bid the difference between the contractor's bid and the bid of the next lowest responsible bidder if the bid is accepted and the contractor fails to execute a contract or to provide a performance bond.
A guarantee that a contractor will enter into a contract, if awarded to him, and furnish such contract bonds as are required by the terms of the contract.
Guaranty in the amount of 5 percent of the contractor's total bid amount. If the contractor withdraws a bid without just cause, a claim is filed against a contractor's bid bond. Just cause is limited to clerical errors. Bid bonds act as deterrents against contractors submitting and then withdrawing bids. Bid bonds also reimburse Mn/DOT for costs related to re-advertising the project and delays in the project start date.
Guarantees an owner, the "obligee," that the accepted contractor will actually undertake the work and that the contractor will furnish performance, payment, and, perhaps, maintenance bonds — or that the contractor will pay the owner the difference between the amount of the contractor's accepted bid and the bid of another contractor who has to be called in to complete the project.
Given by a bidder for a supply or construction contract to guarantee that the bidder, if awarded the contract within the time stipulated, will enter into the contract and furnish the prescribed performance bond. Default will ordinarily result in liability for the difference between the amount of the principal's bid and the bid of the next low bidder who can qualify for the contract. In any event, however, the liability of the surety is limited to the bid bond penalty.
A bid bond is an obligation undertaken by the bidder promising that the bidder will, if awarded the contract, enter into the contract and furnish the prescribed payment and performance bond(s) within a specified period of time.
Bond covering a Bid [D03458] RMW
Guarantee established in connection with international tenders. Guanrantees fulfillment of the offer.
Bond submitted with a construction bid which guarantees the contractor's acceptance of the contract at the bid price.
A financial guarantee given in support of the obligation of a bidder to sign a contract if he is successful in his bid.
A bond issued by a surety company to provide assurance that the contractor submitting the bid has the ability to execute a contract and complete the scope of work. The bond is defaulted if the contrator fails to execute a contract - the amount of the bond is used to pay the difference to the next lowest bidder.
A bid bond is given by a bidder for a construction contract to guarantee that the bidder, if awarded the contract within the time stipulated, will enter into the contract and furnish any performance and payment bonds that may be required
A bond required of a contractor tendering for a contract to ensure that the bid is being made in good faith.
type od Surety bond that guarantees that if a contractor's bid is accepted, the contractor will enter into a contract and provide the required Performance bond.
May be called for by the employer in a construction contract. It covers the possibility of the bidder failing to perform if its bid is successful.
Guarantees an exporter bidding on a foreign contract will take the contract if awarded. Penalties will be issued to winning competitors failing to take up a contract.
A financial guaranty issued by a surety company in favor of a buyer, at the request of a potential seller, assuring the buyer of the intent and contractual competence of the seller submitting a tender. Compare "Tender Bond."
guarantees that a contractor who bids on a project will enter into a contract and provide the required CONTRACT BONDS if awarded the job. (See SURETYSHIP)
A type of bond which guarantees the fulfillment of an offer or bid if it is accepted.
Bond that acts as a guarantee that the bidder will, at the bid price, enter into and comply with a contract. Also known as tender bond.
A guaranty that a bidder for contract work will accept the contract and perform the work if the bid is accepted.