00610 Performance Bond C-610-2002
00610-1
PERFORMANCE BOND
Any singular reference to Contractor, Surety, Owner, or other party shall be considered plural where applicable.
CONTRACTOR (Name and Address): SURETY (Name and Address of Principal Place of Business):
_____________________________________________________________________________________________________
_____________________________________________________________________________________________________
OWNER (Name and Address):
_____________________________________________________________________________________________________
_____________________________________________________________________________________________________
CONTRACT
Date:________________________________________________
Amount: _____________________________________________
Description (Name and Location):
_____________________________________________________________________________________________________
_____________________________________________________________________________________________________
_____________________________________________________________________________________________________
BOND
Bond Number: ________________________________________
Date (Not earlier than Contract Date): ______________________
Amount: _____________________________________________
Modifications to this Bond Form:_________________________________________________________________________
Surety and Contractor, intending to be legally bound hereby, subject to the terms printed on the reverse side hereof, do each cause this
Performance Bond to be duly executed on its behalf by its authorized officer, agent, or representative.
CONTRACTOR AS PRINCIPAL SURETY
Company:
Signature: (Seal) (Seal)
Name and Title: Surety’s Name and Corporate Seal
By:
Signature and Title
(Attach Power of Attorney)
(Space is provided below for signatures of additional
parties, if required.)
Attest:
Signature and Title
CONTRACTOR AS PRINCIPAL SURETY
Company:
Signature: (Seal) (Seal)
Name and Title: Surety’s Name and Corporate Seal
By:
Signature and Title
(Attach Power of Attorney)
Attest:
Signature and Title:
EJCDC No. C-610 (2002 Edition)
Originally prepared through the joint efforts of the Surety Association of America, Engineers Joint Contract Documents Committee, the Associated General
Contractors of America, and the American Institute of Architects.
00610-2
1. Contractor and Surety, jointly and severally, bind themselves, their heirs,
executors, administrators, successors, and assigns to Owner for the performance of the
Contract, which is incorporated herein by reference.
2. If Contractor performs the Contract, Surety and Contractor have no obligation
under this Bond, except to participate in conferences as provided in Paragraph 3.1.
3. If there is no Owner Default, Surety's obligation under this Bond shall arise after:
3.1. Owner has notified Contractor and Surety, at the addresses described in
Paragraph 10 below, that Owner is considering declaring a Contractor
Default and has requested and attempted to arrange a conference with
Contractor and Surety to be held not later than 15 days after receipt of
such notice to discuss methods of performing the Contract. If Owner,
Contractor and Surety agree, Contractor shall be allowed a reasonable
time to perform the Contract, but such an agreement shall not waive
Owner's right, if any, subsequently to declare a Contractor Default; and
3.2. Owner has declared a Contractor Default and formally terminated
Contractor's right to complete the Contract. Such Contractor Default shall
not be declared earlier than 20 days after Contractor and Surety have
received notice as provided in Paragraph 3.1; and
3.3. Owner has agreed to pay the Balance of the Contract Price to:
1. Surety in accordance with the terms of the Contract;
2. Another contractor selected pursuant to Paragraph 4.3 to perform the
Contract.
4. When Owner has satisfied the conditions of Paragraph 3, Surety shall promptly and
at Surety's expense take one of the following actions:
4.1. Arrange for Contractor, with consent of Owner, to perform and complete
the Contract; or
4.2. Undertake to perform and complete the Contract itself, through its agents
or through independent contractors; or
4.3. Obtain bids or negotiated proposals from qualified contractors acceptable
to Owner for a contract for performance and completion of the Contract,
arrange for a contract to be prepared for execution by Owner and
Contractor selected with Owner's concurrence, to be secured with
performance and payment bonds executed by a qualified surety equivalent
to the bonds issued on the Contract, and pay to Owner the amount of
damages as described in Paragraph 6 in excess of the Balance of the
Contract Price incurred by Owner resulting from Contractor Default; or
4.4. Waive its right to perform and complete, arrange for completion, or obtain
a new contractor and with reasonable promptness under the circumstances:
1. After investigation, determine the amount for which it may be liable to
Owner and, as soon as practicable after the amount is determined,
tender payment therefor to Owner; or
2. Deny liability in whole or in part and notify Owner citing reasons
therefor.
5. If Surety does not proceed as provided in Paragraph 4 with reasonable promptness,
Surety shall be deemed to be in default on this Bond 15 days after receipt of an
additional written notice from Owner to Surety demanding that Surety perform its
obligations under this Bond, and Owner shall be entitled to enforce any remedy
available to Owner. If Surety proceeds as provided in Paragraph 4.4, and Owner
refuses the payment tendered or Surety has denied liability, in whole or in
part, without further notice Owner shall be entitled to enforce any remedy available to
Owner.
6. After Owner has terminated Contractor's right to complete the Contract, and if
Surety elects to act under Paragraph 4.1, 4.2, or 4.3 above, then the responsibilities of
Surety to Owner shall not be greater than those of Contractor under the Contract, and
the responsibilities of Owner to Surety shall not be greater than those of Owner under
the Contract. To a limit of the amount of this Bond, but subject to commitment by
Owner of the Balance of the Contract Price to mitigation of costs and damages on the
Contract, Surety is obligated without duplication for:
6.1. The responsibilities of Contractor for correction of defective Work and
completion of the Contract;
6.2. Additional legal, design professional, and delay costs resulting from
Contractor's Default, and resulting from the actions or failure to act of
Surety under Paragraph 4; and
6.3. Liquidated damages, or if no liquidated damages are specified in the
Contract, actual damages caused by delayed performance or non-
performance of Contractor.
7. Surety shall not be liable to Owner or others for obligations of Contractor that are
unrelated to the Contract, and the Balance of the Contract Price shall not be reduced or
set off on account of any such unrelated obligations. No right of action shall accrue on
this Bond to any person or entity other than Owner or its heirs, executors,
administrators, or successors.
8. Surety hereby waives notice of any change, including changes of time, to Contract
or to related subcontracts, purchase orders, and other obligations.
9. Any proceeding, legal or equitable, under this Bond may be instituted in any court
of competent jurisdiction in the location in which the Work or part of the Work is
located and shall be instituted within two years after Contractor Default or within two
years after Contractor ceased working or within two years after Surety refuses or fails
to perform its obligations under this Bond, whichever occurs first. If the provisions of
this paragraph are void or prohibited by law, the minimum period of limitation
available to sureties as a defense in the jurisdiction of the suit shall be applicable.
10. Notice to Surety, Owner, or Contractor shall be mailed or delivered to the address
shown on the signature page.
11. When this Bond has been furnished to comply with a statutory requirement in the
location where the Contract was to be performed, any provision in this Bond
conflicting with said statutory requirement shall be deemed deleted herefrom and
provisions conforming to such statutory requirement shall be deemed incorporated
herein. The intent is that this Bond shall be construed as a statutory bond and not as a
common law bond.
12. Definitions.
12.1 Balance of the Contract Price: The total amount payable by Owner to
Contractor under the Contract after all proper adjustments have been
made, including allowance to Contractor of any amounts received or to be
received by Owner in settlement of insurance or other Claims for damages
to which Contractor is entitled, reduced by all valid and proper payments
made to or on behalf of Contractor under the Contract.
12.2. Contract: The agreement between Owner and Contractor identified on the
signature page, including all Contract Documents and changes thereto.
12.3. Contractor Default: Failure of Contractor, which has neither been
remedied nor waived, to perform or otherwise to comply with the terms of
the Contract.
12.4. Owner Default: Failure of Owner, which has neither been remedied nor
waived, to pay Contractor as required by the Contract or to perform and
complete or comply with the other terms thereof.
FOR INFORMATION ONLY – Name, Address and Telephone
Surety Agency or Broker
Owner’s Respresentative (engineer or other party)