Construction Liens & Notices
- Pre-Lien Notices
- Construction Liens
- Design Professional Liens (CA Only)
- Stop Notice
-
Bond Claim Notices
(Miller or Little Miller Act) - Notice of Intent to Lien
- Extension of Lien
- Release/Withdrawal of Claim
- Pre-Lien Amendments
Real Estate Title Transfers
- Deeds (Real Estate Title Transfers)
- Affidavits of Death (Death Transfers)
-
Beneficiary Deed
(a.k.a. Transfer on Death Deed) - Revocation of Beneficiary Deed
- Rescission Deed
Business Filings
- Sole-Proprietorships
- Partnerships
-
Fictitious Business Names
(DBA / FBN filings) - Corporation (Inc.)
- Limited Liability Co. (LLC)
- Dissolving/Closing a Business
- Amendments/Changes
Misc. Services
- Homestead Declaration
- Abandonment of Homestead
- Short Form Deed of Trust
- Promissory Note
- Reconveyances
- Messenger / Filing Services
- Document Retrieval Services
Bond Claim Notices
California
- Basics of a CA Payment Bond (Public & Private Works).
- CA Payment Bond Notice Requirements (Public & Private Works).
- Enforcing a CA Payment Bond (Public & Private Works).
Basics of a CA Payment Bond
A surety bond is comprised of a surety company (the “surety”) that guarantees to one party (the “obligee”) that a second party (the “principal”) will perform its obligation otherwise the surety will step in to honor the obligation. Under a California Payment Bond, the general/prime contractor (the “principal”) purchases a surety bond to assure the property owner/public entity (the “obligee”) that payment will be made to the lower tier contractors and suppliers (the beneficiaries of the payment bond). If payment is not made, the surety and principal are liable for redering payment. The payment bond is very useful if the general/prime contractor or the person who hired you goes bankrupt.
On all California public works project that exceeds $25,000, the general/prime contractor must post a payment bond to ensure that all lower tier contractors, material suppliers, and other potential claimants are paid.[1] If the prime contractor or subcontractor fails to pay their material suppliers, mechanics, contractors, subcontractors, equipment lessors, and other persons who perform work authorized for a “work of improvement,” then the unpaid parties will have rights against the payment bond.[2]
Furthermore, an “express trust fund” to which a portion of a laborer's total compensation is to be paid pursuant to an employment agreement or a collective bargaining agreement for benefits may also file a payment bond claim.[3]
OPTIONAL PAYMENT BOND FOR PRIVATE WORK PROJECTS: Although not required, a payment bond may be posted and/or recorded by the property owner or any contractor on a private works project. Payment bonds are rarely used for private projects because of the unnecessary additional costs.
List of Cited Statutes and Case Laws for further research
[1] California Civil Code § 9550
[2] California Civil Code §§ 8508, 8606, and 9100
[3] California Civil Code §§ 8024, 8508, 8606, and 9100