By law, Florida’s judicial courts typically require plaintiffs in civil cases and personal representatives managing a decedent’s estate to post a surety bond with the court. It protects the public and the opposing party or estate from a litigant’s failure to fulfill their legal obligations or satisfy a judgment. The licensed agents at Commercial Insurance Specialists will help you apply for and secure the court bond you need at the most competitive rate.
What is a Court Bond?
A court bond (also known as a judicial bond) is a surety bond required by a judge to ensure that a party in a legal proceeding fulfills their court-ordered duties. Unlike a typical insurance policy that protects the policyholder, a court bond protects the other party or the estate. It acts as a financial guarantee that you will abide by the court’s orders.
Types of Court Bonds
There are several types of court bonds, depending on the litigation.
Cost Bond
Often required of non-resident plaintiffs or those pursuing civil actions. It guarantees that if the plaintiff loses the case, they will pay the defendant’s court costs and legal fees as ordered by the court.
Judicial Bonds
Based on the legal action taken, a plaintiff or a defendant may be required to post a judicial bond with the court. These include Appeal Bonds, which are required if a defendant wishes to stay a judgment while appealing a case, and Replevin Bonds when a plaintiff seeks to seize property before a final judgment.
Fiduciary/Probate Surety Bonds
Required for Personal Representatives (Executors) and Administrators of an estate. Per Florida Statute 733.402, this bond ensures the representative manages the decedent’s assets honestly and distributes them accordingly to heirs and creditors.
Guardianship Bond
Per Florida Statute 744.351, an individual appointed as a legal guardian to manage the property and affairs of a minor or an incapacitated adult must post a surety bond with the court. The guardianship bond protects the ward’s assets from mismanagement or fraud by the legal guardian.
When Are Court Bonds Required?
In Florida, a bond is typically required at the commencement of a legal action or upon appointment to a fiduciary role.
- Probate: A probate bond is usually mandatory unless the decedent’s Will explicitly waives it, or the court determines the personal representative is a bank or trust company.
- Civil Litigation: A judge may require a bond when one party’s actions (like seizing property or appealing a ruling) could cause financial harm to the other party if the court’s final decision rules against them.
- Guardianship: Almost all Guardians must post a bond before a court grants them the authority to act.
How Much Does It Cost?
The cost of a court bond (the “premium”) is usually a small percentage of the total bond amount set by the judge.
- Probate and Fiduciary Bonds: These often cost between 0.5% and 1% of the bond amount per year. For example, a $50,000 bond might cost $250 to $500 annually.
- Other Bonds: Your personal credit score is often the primary factor in determining your rate. For very large bond values, the surety company may also review your financial statements, recent tax returns, and other relevant documents.
Where to Secure Court Bonds in Florida
We understand that many individuals are not familiar with the different types of court bonds. Our licensed agents make the process fast, easy, and affordable by shopping multiple insurance companies for the lowest bond premiums. We’re a trusted, locally operated, family-owned independent insurance agency with three convenient office locations throughout Central Florida and the Gulf Coast. Contact us today for a free, no-obligation quote and get the court surety bond you need for less.
