The two most common types of Tennessee Surety Bonds include: 

 

Commercial Surety:

Bonds required of individuals or businesses by the government, legislation or by other entities. Printmybond.com provides the following types of commercial surety bonds.

 

License and permit bonds: required by state, municipal or federal ordinance or regulation. These bonds may be required as a condition for engaging in a particular business or exercising a particular privilege. Examples include performance and payment bonds, customs bonds, tax bonds and warehouse bonds.

 

Court bonds, including:  Judicial bonds, required of either a plaintiff or defendant in judicial proceedings, to reserve the rights of the opposing litigant or other interested parties. Fiduciary bonds, required of those who administer a trust under court supervision. 

 

Public official bonds: required by statute for certain holders of public office, to protect the public from malfeasance by an official or from an official's failure to faithfully perform duties. 

 

Miscellaneous bonds: do not fit into any of the other categories above.

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Contract Surety:
Bonds that the government or an owner of a construction project may require a contractor to obtain. There are three types of contract surety bonds:

Bid bond: Affords protection to a project owner (obligee) in the event a successful bidder will not enter a contract and will not provide the required surety bonds or other security.

Performance bond: Provides protection to the obligee if the contractor defaults on its obligations under the bonded contract.

Payment bond: Guarantees the Contractor will pay subcontractor, labor and material bills associated with a bonded construction project.