Surety Bond News

New surety legislation was enacted concerning Minnesota plumbers. The new law is named SB 2 and modifies the surety bond requirements for plumbers; the previous legislation required all licensed contractors who perform plumbing work to acquire a $25,000 surety bond. The new law changes the requirement to pertain to all individuals who perform plumbing in the state regardless of whether they are a licensed contractor.

The world of surety seems to be doing just fine amidst the down economy. There are still a lot of construction jobs available and many bonds to be written; but could the healthy appearance of the surety industry be somewhat of an illusion? (more…)

Many contractors that were planning on starting an LLC (Limited Liability Company) in California found that they were legally unable; but a new bill has changed that. Legislators put a new law in to place allowing contractors to operate as an LLC but in order to do so; they must obtain a large surety bond. (more…)

Surety bonds are required for virtually all high profile construction projects to begin, yet they remain a mystery to many. Some have never heard of “surety bonds” or “contractors bonds” as they are commonly referred to in the construction industry, so acquiring one can be unclear all in itself. Bonding requirements vary from one area to another; for those looking to start a construction project in California, the following areas can help define local surety bonding principles: (more…)

Legislatures in Texas have enacted a new law directly affecting the surety bond industry. When one looks at the changes included in the bill, it’s hard to see what it actually accomplishes; it raises the question of whether the legislators writing laws affecting the world of surety have adequate knowledge of the industry.
(more…)