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Instructions and help about surety agreement example

If you re wondering what a surety bond is, you ve come to the right place. SuretyBonds.comhas developed this guide to give you a quick and easy to understand explanation of suretybonds. I m Danielle, and I ll be explaining what surety bonds are, how they work and whoneeds them.A basic definition explains that a surety bond brings three parties together in a legallybinding agreement. These three parties are known as the principal, obligee, and surety.First, we have the principal, which is the professional or business that much purchasethe bond. When a principal purchases the bond they provide a financial guarantee and provetheir ability to follow certain laws and regulations. Second, we have the obligee which is the partythat requires the principal to purchase the bond. The obligee is usually a governmentagency that uses surety bonds to regulate an industry and protect consumers from financialloss. Finally we have the surety, which is the insurance company that guarantees thebond. The s


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