Lien Bond

The Problem with Weak Payment Bond Defenses

A payment bond surety whose principal may be insolvent is caught in a difficult spot. But a Connecticut court decision dealt a major blow to a surety who tried to rely on a series of special defenses, none of which stood up to the facts that material… Read More
Read More

Bond or Guaranty Requirement on New York Projects Clarified

The New York lien law, for private projects being built on public land, requires that the project owner furnish “a bond or other form of undertaking guaranteeing prompt payment of moneys due.” Lien Law § 5. In a dispute concerning construction o… Read More
Read More

Subcontractor Charged For Having Its Own Lien Bonded Off

Based on subcontract language, a Minnesota appeals court has held that the prime contractor could charge its lien bond premium against the sub who filed the lien. Arising from a power generation station project, the prime and a sub pursued breach of… Read More
Read More