What To Do With Performance Bonds When Projects Default

By Gary Strong (January 18, 2018, 3:12 PM EST) -- In today's economic climate, performance bonds are important for construction contracts. While performance bonds provide some security to subcontractors who are hired by the contractor as well as the owner who pays the contractor, this security is not guaranteed as sureties have "surety defenses" that provide a surety with an opportunity to disclaim coverage under the performance bond. This article will focus up what are a performance bond surety's options when there is a project default and what types of unique defenses the performance bond surety can use to its benefit....

Law360 is on it, so you are, too.

A Law360 subscription puts you at the center of fast-moving legal issues, trends and developments so you can act with speed and confidence. Over 200 articles are published daily across more than 60 topics, industries, practice areas and jurisdictions.


A Law360 subscription includes features such as

  • Daily newsletters
  • Expert analysis
  • Mobile app
  • Advanced search
  • Judge information
  • Real-time alerts
  • 450K+ searchable archived articles

And more!

Experience Law360 today with a free 7-day trial.

Start Free Trial

Already a subscriber? Click here to login

Hello! I'm Law360's automated support bot.

How can I help you today?

For example, you can type:
  • I forgot my password
  • I took a free trial but didn't get a verification email
  • How do I sign up for a newsletter?
Ask a question!