payment bond
A payment bond guarantees that suppliers and subcontractors will be paid for materials and labor furnished to the principal contractor.
payment bond
A payment bond guarantees that suppliers and subcontractors will be paid for materials and labor furnished to the principal contractor.
Additional Information
Project owners sometimes require a payment bond to guarantee that the project will be delivered free of liens. On public projects, contractors are often required to provide a payment bond on projects over a certain size under the federal Miller Act or a state Little Miller Act.
