penal sum

penal sum

The amount named in a contract or bond as the damages or penalty to be paid by a signatory thereto in the event he fails to perform his contractual obligations or does not do so within the time prescribed by the contract.
References in periodicals archive ?
of the contract as specified, and the penal sum of such bid bond, in the amount of one hundred percent
If a bond claim is proven, the affected parties can get a reimbursement up to the penal sum of the bond.
The surety's liability was limited to the cost of completion up to the penal sum.
During the several months between the contractor's default and the conclusion of an agreement with the new construction manager, the owner engaged in continuing negotiation, with the surety as to the surety's full liability under the performance bond which, in this case, had a penal sum of 50 percent of the original contract sum.
In a sealed bid procurement which required the submission of a bid guarantee in the amount of 20 percent of the bid price, agency properly rejected protester's bid as nonresponsive, where the bid included a bid guarantee that stated that the penal sum amount was limited to 20 percent of the bid price, but the liability limit of the surety was limited to an amount that was significantly less than 20 percent of the bid price.
Submission of the AIA Document 310, or any other form limiting or potentially limiting the penal sum of the bond to any amount less than 10% of the bid price not to exceed $20,000.
Each bid shall be made out on the proposal forms which are attached to the specifications, and shall be accompanied by a bid bond acceptable to the City of Sierra Vista for a penal sum of not less than ten percent (10%) of the amount of the bid made payable to the order of the City of Sierra Vista.
Provide performance bond for the benefit of owner, in the full penal sum of the gmp.
Each proposal must be accompanied by a certified check in the sum of five percent (5%) of the amount of the bid, drawn upon a National or State Bank or Trust Company, to the order of the Town of Colonie, New York, or a bond with sufficient sureties in a penal sum equal to five percent (5%) of the bid, conditioned that if his bid is accepted, successful bidder will enter into a contract for the same and that he will execute such further security as may be required for the performance of the contract.
The penal sum of such bond shall be in the amount of 100% of the total contract price.
The amount of such check or the penal sum of such bond shall be in the sum of twenty-five thousand dollars ($25,000).
And the authority even has the cheek to charge pounds 1 to drop by, then penal sums beyond a quarter of an hour.