Over 55,000 businesses went bankrupt in 2014, according to the U.S. Department of Labor. When a business declares bankruptcy the court in every state requires a receiver bond (assignee bond) to cover any unlawful handling of money.
This surety bond is required by states because even though the defunct company is bankrupt it still has to be responsible for any money it receives.
What Makes A Company Go Bankrupt?
The sheer number of possible reasons a company in America can go bankrupt are far too vast to cover in one blog post. A stagnant economy, acts of weather, new products, competition, innovation, unable to compete for talent, local politics, and even federal legislation can all be the domino that knocks them all down.
In recent years more businesses have closed in America than have opened. There’s no doubting that operating a business in any type of recovery, especially one that is attempting to build from a recession, is difficult right now. This means businesses have to know how to handle their operations whether they are open or about to close.
Surety Bond Requirement
No matter the reason why a company goes bankrupt it still has to follow certain practices in order to satisfy shareholders, workers, creditors, etc. State and federal legislation both allow companies to use bankruptcy as a way to satisfy the parties involved without having to take on additional debt. in order to do this, however, a surety bond must be obtained.
Any company, large or small, is required to use an assignee bond (receiver bond) to insure against any wrongdoing concerning handling of rents and payments made to the company going through bankruptcy.
The surety bond cost varies based on state and local legislation. The company’s receivables and value also play a role in determining how the court sets the receiver bond amount.
Assignee Bond Protection
When a business is dealing with bankruptcy the assignee bond covers them financially should anyone handling the account mishandles funds. Not having the surety bond protection means the company who is already dealing with such a financial problem that they have to close down is now faced with the extra burden of paying things twice because someone didn’t handle money properly.
Jurisco understands the pressures a business is under. That is why our office is easy to reach, willing to discuss the situation, and quick to act when anyone requires a receiver bond. A business facing bankruptcy can contact Jurisco anytime to set up a surety bond they may need to help them.
When a court or state demands a surety bond they want the bond expeditiously. Jurisco understands that the need for a surety bond can arise quickly. A team of lawyer-trained staff knows how important a surety bond is for a plaintiff, defendant, or for an individual seeking a bond for their licensing requirements so they are diligent in helping clients obtain the surety bond that is right for their situation.
A Bond When You Need It
A defendant who is seeking to temporarily halt the collection of a money judgment until after they have a chance to appeal needs their stay bond quickly to avoid being in contempt of court. The same goes for a plaintiff who wants to garnish wages with a wage garnishment bond. Life moves fast and so does Jurisco.
Questions about a bond whether it is a distress bond for a landlord or an appeal bond for a defendant are answered promptly and accurately by Jurisco staff. By having a bond expert working on the bond the plaintiff, defendant, individual, or business will meet all state requirements for their particular bond. It’s important to get things right the first time and Jurisco knows that.
Living Up To State Expectations
Jurisco offers surety bonds in all 50 states. The only reason Jurisco can offer this wide range of service is because the staff knows what each state wants for every type of surety bond they mandate. Clients who are in California may not need to do the same thing that someone from Wisconsin may have to do. Jurisco knows the difference.
Any surety bond process can begin right now by filling out a pdf online or by speaking to a member of the Jurisco staff at 800-274-2663. When a surety bond is what you require then you’ll be better served by contacting Jurisco to let us help.
Many people understand the value that Veterans have provided their country, however, it often takes a national holiday or tragedy to put that value in focus. Even when the men and women who have served America are not on the top of the news they always deserve care and respect. One of the ways the court system protects veterans is by mandating surety bonds when a third party oversees their money and property.
Surety Bond Protection
A Custodian of Veteran Bond is a type of surety bond that is meant to protect the veterans who so bravely protect their fellow citizens. Anyone who serves in the Army, Marines, Navy or other armed forces has the opportunity to invest their money with the Department of Veterans Affairs (VA). A custodian of veteran bond protects this money and the veteran in the event that he or she becomes incapacitated and require a guardian to handle their assets.
When a member of the armed services require a guardian the guardian must post a custodian of veteran bond before taking over control of the veteran’s assets. With this bond in place the veteran is protected against any misuse or mishandling by the guardian. This surety bond protects veterans when they are vulnerable so they and their families do not have to suffer any hardships caused from bad actions on part of the guardian.
In many cases a veteran can prepare for the time when they may require a guardian and ask a family member or associate to assume the role should the need arise. This option is not always available unfortunately as life proves time and time again that anything can happen at any time. In this event the VA or family of the veteran can assign a guardian.
Works On Veteran’s Behalf
Because the Department of VA Fiduciary Program requires that a custodian of veteran fiduciary bond be posted, the family of the veteran has full recourse and financial protection against a mishandling of funds. They still are allowed to take the guardian to court over their actions, but the bond gives them financial relief when they need it without having to wait for the courts to make a final ruling.
It is important that our veterans are taken care of as they have taken care of their country. Any veteran or their family member or associates can learn about a custodian of veteran bond from Jurisco. The trained staff understand the requirements of the Department of Veterans Affairs and work diligently to provide a surety bond that gives veterans the utmost protection.
Even the inevitability of death cannot prepare people for what happens when an individual dies. This is why the state of North Carolina requires a Personal Representative to be appointed to handle the final expenses and distribution of assets of a person who has died.
A Personal Representative, often referred to as an Administrator or Executor, is responsible for the estate and all its financial holdings. The personal representative can be named by the individual before they die or they can be appointed by the court. The position can go to a family member but can also go to someone outside the family line.
Surety Bond Protection
North Carolina, along with other states, choose the personal representative bond to help protect not only the heirs to an estate but outside parties as well. One of the main responsibilities of an administrator of an estate is to settle any debts or issues. This surety bond protects all interested parties in the event the administrator does not fulfill their duties.
Surety bonds such as the personal representative bond are designed and mandated to protect against unlawful activity. Whether it is an appeal bond for a defendant or a bond in order to garnish wages, the court system uses a surety bond to give people financial protection against wrongdoing in those cases.
How A Bond Helps
If a relative or creditor of an estate feels the administrator is not meeting his or her responsibilities then a personal representative bond protects them financially. In the event that an administrator fails to distribute funds per to the estate’s rules and if creditors are not paid a North Carolina judge covers the financial burden with the surety bond.
Since the surety bond was secured before the administrator took over responsibilities the estate does not have to cover a financial loss or deal with a lengthy court battle over money. Instead, the personal representative bond makes sure that the individual’s last wishes are granted and that any family, heirs, or creditors are taken care of properly.
Jurisco can help secure a personal representative bond quickly that will cover all North Carolina mandates and responsibilities. The lawyer-trained staff is able to assess needs fully so any surety bond we provide covers everything a personal representative can encounter.
Often times a court in the state of Washington hears a case involving ownership of property. This can be any number of things including cars, boats, houses, art. Lawyers come across this situation a lot.
Before a Judge has time to issue a ruling it may be necessary to remove the contested property from the defendant’s possession. Each county relies on their sheriff’s department to handle this removal and securement of property.
Duty To Protect
A defendant has every right to fight this action, however, and can seek restitution against the plaintiff if this action is later deemed unlawful by the court. Knowing this is possible the court protects the involved law enforcement agency through a surety bond.
When a plaintiff asks a Washington Sheriff’s Department to seize property from a defendant they are required to secure an indemnity to sheriff surety bond. Taking possession of property in Washington does not come without its consequences. The courts require the surety bond as a way to shield the various sheriff’s departments against legal action from the defendant.
In addition to covering both the defendant and sheriff’s department in the event of a wrongful removal, an indemnity to sheriff surety bond covers any damage done to said property during the seizure process.
Indemnity To Sheriff Bond
Anytime the courts grant a seizure of property they consider the defendant and plaintiff fully. Washington mandates that all parties be protected against wrongful harm. An indemnity to sheriff bond is just one-way surety bonds are used by the courts to safeguard against further damage.
The lawyer trained staff at Jurisco understands all of Washington state requirements as well as every other state. Securing an indemnity to sheriff bond or any type of surety bond needed is fast and easy with Jurisco.
Whether you are watching television or streaming a show on Hulu there is bound to be a commercial about taking a vacation. This time of year people look into Holiday travel plans as well as thinking of giving the gift of a trip of a lifetime. When researching ideas and travel agents make sure the agent you work with is covered with a surety bond.
Surety Bond Requirements
Every travel agent operating in Florida is required to a have a Florida seller of travel surety bond or an airline reporting commission. This surety bond is required for any travel agent who sells airline tickets to ensure they are in compliance with Florida statute as well as the Federal Aviation Administration.
The reason the state of Florida is concerned with travel agents is that it is a solid effort to protect the consumer. When people are using the services of a travel agent they don’t want to arrive at the airport and have nowhere to go. A surety bond gives both the travel agent and consumer recourse should the need present itself.
Jurisco Can Help
Working with a travel agent who isn’t bonded can open the door to trouble. Working as a travel agent who isn’t bonded will certainly lead to trouble. The trained professionals at Jurisco helps travel agents secure the necessary surety bond in their state including Florida’s seller of travel bond. Contact us today for more information.
Money judgments can be tough on the most resilient of beings and largest of businesses. When a defendant is required to pay out a large sum of money there may be the possibility of taking away the opportunity to appeal because of financial reasons. The courts in New York handle the issue through a stay bond (pending appeal bond).
Access To Appeal
A defendant in New York who is facing a hefty money judgement but still believes confidently in an appeal has one recourse to stop the collection of money and that is a stay (pending appeal) bond. This type of New York surety bond covers the money judgement, insuring its payment, while allowing the defendant to appeal the decision.
A stay bond shows the court that the defendant is not making the appeal in an effort to delay payment to the plaintiff. Since the surety bond covers the amount of the money judgement the court will accept a stay bond to put off having to pay until after the appeal process has worked its course.
Taking this course of action allows the defendant a chance of negating the judgement or even reducing the amount. This is why the New York courts want to make the appeal process open to all defendants. A stay bond helps defendants navigate this process without the extra burden of a money judgement.
The Jurisco office will answer any questions about a stay bond in New York or any other state. A team of highly trained professionals can help write a stay bond quickly meeting all state requirements to reduce the chance of court rejection. Let Jurisco deliver a stay bond that covers the money judgement and all court mandates so the appeal process can move forward.
Commercial property can be a good investment, but it is not without its problems. One of the biggest challenges facing commercial property owners who are landlords is the inevitable eviction of a tenant.
There can be several reasons for the eviction ranging from changes in the market to people not paying for months on end. When a landlord has to evict the renters of commercial property they make sure to use a distress bond to prove that the eviction is being done with just cause and protection.
Distress Bond Protection
Employing a surety bond such as a distress or distraint bond is an error proof way to handle the eviction process of a commercial tenant. The distress bond in California covers the landlord financially to show the courts that the move was not done without first protecting the tenant against a wrongful eviction. The bond will cover the landlord should the court rule in the tenant’s favor.
Being a landlord is tough no matter which region of California the property is located in. Whether having to deal with the constant demand in Silicon Valley to having to adapt to new property laws in San Francisco it is always best to cover all the bases. Using a distress bond not only protects the tenant but also the landlord from further financial hardship.
It seems almost every eviction makes the news because of the economic trend that has more business going out instead of opening. Landlords who use a distress bond are creating an easier road to travel.
A Bond Process Made Quick And Easy
Jurisco can help any landlord with a distress bond without delays to help make the eviction process as seamless as possible. Any landlord who is dealing with a delicate situation knows that setting the dominios up neatly will help everything fall into place. Contact Jurisco today about why it may be necessary to have a distress bond in California when dealing with commercial property.
Have you heard the latest in the Rite Aid case going on in California? Rite Aid is in need of an appeal bond as a Los Angeles County Superior Court denied the company’s post-trial motions to strike down the $8.7 million jury verdict awarded to a former employee.
While Rite Aid attempts to circle the wagons the court is granting them time to post an appeal bond as they seek to appeal the ruling to a higher court.
The appeal bond helps stay the judgement so the pharmaceutical company does not have to pay out millions of dollars until after their appeal has been heard and ruled on.
When An Employee Sues
Trouble for Rite Aid started back in 2007 when a store manager was injured during an in-store robbery. Severe neck injuries restricted the manager’s movements and abilities.
The employee said Rite Aid higher ups did not handle his injury well, or with respect, and even made disparaging remarks leading to him losing his position.
Back in July a jury found that the employee suffered not only a lost in wages, but $5 million in punitive damages, as well.
Rite Aid has tried to shirk responsibility claiming that the store the manager worked at was actually acquired by Rite Aid but not ran by the company. The Judge did not buy the argument saying since the Rite Aid logo appeared at the store, the manager’s work computer, and other work effects that the business is responsible.
Having an employee sue a company can cause serious issues for a business as this case shows.
Staying A Judgement During Appeal
Since the request to slay the ruling was thrown out the only option left for Rite Aid is to post an appeal bond. Without this surety bond the company would be in contempt of court for not paying the judgement immediately.
Courts in California accept an appeal bond to stay a ruling because it financially protects the plaintiff in the case.
A surety bond covers the judgement amount so the court is shown that the ruling will be followed through despite the defendant’s wish to make an appeal to another court.
Money Judgements Can Be A Blow To The Bottom Line
Rite Aid is not the first business to find out how expensive court action can be. When an employee, customer, or other service provider takes a business to court it can be very costly to their bottom line.
Of course, one of the best ways to protect against court cost is to run a business that cares for employees and customers alike. However, not everything can be planned for. And certainly the actions of a few employees against another employee doesn’t represent total internal chaos – but it certainly doesn’t help a legal case.
Taking Court Action
When a California judge makes a ruling they expect it to be followed without delay. If a defendant feels they have an angle to appeal or relative new information then they may seek a judgement from a higher court.
In order to appeal without being in contempt of the judge’s ruling a defendant must post a surety bond called an appeal bond.
The appeal bond generally covers the amount of the money judgement along with any court fees or interest.
Anyone working a case in California should be aware of the appeal bond guidelines. A member of the Jurisco team can help set up an appeal bond quickly so the process will not be delayed.
Rite Aid is posting their appeal bond. Now only time will tell if there appeal will be sound enough to work.
Being a landlord comes with its own challenges. Challenges that seem to grow larger when moving from residential to commercial properties in Washington. Some of the toughest areas is in the collection of rent and the eviction of those who do not pay it.
Economy Plays A Role
A shaky economy affects the ability to collect rent no matter if it is rent owed on a house or on a retail space in a mall. Tenants are finding it difficult to make ends meet when costs continue to rise. Money is tight all around, sure, but a landlord has a right to collect on money owed and to find another tenant who can produce the rent without delay.
Some business ideas will make it. Some won’t. A landlord evicting a commercial tenant isn’t saying that they disapprove of the business idea or model, they simply want what the rental agreement states: the rent.
Always Protect Tenant Rights
The landlord’s right to collect rent does not negate any rights held by the tenant, however. Courts still protect tenant rights in Washington. Due process must be followed. A business has a right to their shelter akin to that of an individual.
Landlord’s can’t change the locks and withhold the key simply because they are upset about not being paid.
Evicting a commercial tenant can cause further financial harm to the business or company. State statute is specific about protecting all parties in the situation to ensure no unnecessary harm is done.
Court Approval Of Distress
When a commercial landlord attempts to evict a renter in a retail or commercial space they may be required to post a distress bond.
Courts in Washington consider a distress bond pertinent in order to protect the defendant should they find the distress of rent wrongful.
A lawyer working a case in Seattle, Vancouver, Spokane or any other incorporated town in Washington may use a distress bond to help cover their client, the plaintiff, so a new tenant – or the payment of the owed rent – can be handled quickly.
Distress Bond Specifics
On average the bond amount for a distress bond in Washington is twice the amount of distressed rent. The premium will be two percent of the surety bond.
Any questions about a distress bond can be answered by a member of the Jurisco staff. Landlord’s who are considering evicting a tenant who is renting a commercial property must be sure to cover all their bases.
Remember, the eviction process is rarely a pretty one. A distress bond is a further step of protection that a landlord may use to cover all their bases so they can make the process as smooth as possible for all parties.