contract bond

Also found in: Dictionary, Thesaurus, Financial.

completion bond, construction bond, contract bond

The guarantee of a bonding company that a contractor will perform and deliver the work contracted for free of all encumbrances and liens.
McGraw-Hill Dictionary of Architecture and Construction. Copyright © 2003 by McGraw-Hill Companies, Inc.
References in periodicals archive ?
They also have significant in-house underwriting authority for commercial and contract bonds with a number of surety companies.
Contract bonds, which are very common in the construction industry, are a guaranty from a surety to a project's owner that a general contractor will comply with the terms of a contract.
UKEF has a Bond Support Scheme which can help you provide your customer with contract bonds, such as performance guarantees, from a bank with a significantly reduced depositIf you need support for working capital to fulfil an export contract UKEF can work with you and your bank to help access a loan
The French Government is also proposing to back contract bonds, saying that private banks would not support more short-term plans.
There will be no budget appropriation, not contract bonds. The economic activity generated by the arena and the resulting economic improvements will self-finance the construction of the arena," DiFrancesco said.
Wellington Guarantee also offers surety contract bonds for bids and consent, performance and payments, maintenance, supplies, liens and advance payments.
They also have in-house underwriting authority for commercial and contract bonds with a number of surety companies.
For cash flow, a guarantee from UKEF to an exporter's bank will facilitate the exporter's access to working capital, or its ability to provide contract bonds requested by an overseas buyer as a condition of releasing advance payments.
In any case, the company is running out of financial backing -the so-called contract bonds -that is crucial for it to bid for new business and the state is under pressure from Alstom's banks to come up with a more radical solution for the firm.
The deal also involved state backing for contract bonds, seen as essential to avoid the collapse of the firm, which employs 110,000 people.
Gorke said the surety market consists of two primary sectors: contract bonds, covering construction; and commercial bonds, covering everything else.
There are 19 chapters with such topics as negotiable instruments, documentary collections, letters of credit, contract bonds, demand guarantees, credit risk assessment and management, foreign exchange controls, and interest rate and exchange rate exposure management.

Full browser ?