performance bond

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Related to performance bonds: Contract Bonds, Bid Bonds

performance bond

[pər′fȯr·məns ‚bänd]
(engineering)
A bond that guarantees performance of a contract.

performance bond

A bond of the contractor in which a surety guarantees to the owner that the work will be performed in accordance with the contract documents; frequently combined with the labor and material payment bond; except where prohibited by statute.
References in periodicals archive ?
Dissatisfied with the suspect's action, the victim demanded a refund of his performance bond and withdrew from the project, police said.
Although the same surety may provide the contractor's performance bond and the completion bond, such a procedure is usually not recommended.
In the highway industry, one of the main methods to prequalify a contractor is to determine whether a performance bond can be secured.
However, CCEL argued that despite its best efforts, it had been unable to obtain a performance bond from the funders it had approached in the format required by the contract.
Vice President and Prime Minister of the UAE and Ruler of Dubai, HH Sheikh Mohammed Bin Rashid Al Maktoum has issued a law which amends the performance bond requirements made of contractors operating in Dubai.
"However, it wouldn't just be performance bond funding but under the wider badge of project finance, including things like asset finance."
The Nature of the Performance Bond under Qatari Law
EFIC, the Australian government's export credit agency, said the company's customer in Qatar, the head contractor for the new airport project, required that JML arrange a performance bond for approximately AUD1 million, issued by a bank with a local presence.
The decision as to whether a commercial developer/owner should ask for and require payment or performance bonds should be carefully examined.
David Moser was president of Elite Fire Apparatus and, according to a several people involved, was also involved with The Moser Group, the Wisconsin-based company that provided the performance bond for Ashby's firetruck.
performance bonds can cover a performance bonds can cover a number of sectors, although number of sectors, although generally cover high value generally cover high value products and are common in the oil and gas, construction, advanced engineering and offshore wind sectors.
Researchers examined the benefits and costs of performance bonds and performance-based contractor prequalification and created a three-tier, performance-based model for prequalifying contractors.

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