Maryland Bond Claim Notice

• Category: Construction - Contractors - Bonds
• State: Multi-State
• Control #: US-CONST3
• Format: Word; Rich Text

Description

This form may be completed and used by a subcontractor or supplier who has not been fully paid on a project and is seeking payment from the surety (insurer) under the terms of a payment bond. In construction, a payment bond is a bond on the general contractor to ensure payment to subcontractors and suppliers. Maryland Bond Claim Notice is a legal document that provides a claimant with a way to enforce their rights in the event of non-payment for work performed on a construction project protected by a bond. This notice is an essential step for any party seeking to secure their payment on a public construction project in Maryland. It helps protect subcontractors, suppliers, and other laborers involved in the project, ensuring they have a means to collect payment for their services. The Maryland Bond Claim Notice is governed by the Maryland Little Miller Act, which requires the general contractor to obtain a payment bond for public projects exceeding $100,000. This bond serves as a form of insurance, ensuring that any eligible claimants who have not been paid for their work can seek compensation. There are two types of Maryland Bond Claim Notice: the Preliminary Notice and the Final Notice. The Preliminary Notice is the initial step to secure your rights and must be provided within 120 days from the last date when you have furnished labor or supplied materials to the project. It informs the general contractor, the surety, and the property owner that you may file a bond claim if payment is not received. Failure to provide a Preliminary Notice within the prescribed period may result in the loss of your right to make a claim. The Final Notice, also known as the Claim Notice, is the second type of Maryland Bond Claim Notice. It is filed when the claimant has not been fully paid within 90 days from the completion of the project. The Final Notice must be served on the general contractor, the surety, and the property owner, making it clear that legal action may ensue if payment is not made promptly. By timely filing both the Preliminary Notice and the Final Notice, claimants can protect their right to compensation and take legal recourse if necessary. These notices are essential tools that ensure transparency and accountability in the construction industry, safeguarding the interests of subcontractors, suppliers, and laborers. In summary, the Maryland Bond Claim Notice is a crucial legal document for securing payment on public construction projects. It consists of the Preliminary Notice, which should be filed within 120 days of the last furnishing of labor or materials, and the Final Notice or Claim Notice, which is filed within 90 days of project completion if full payment has not been received. These notices protect the rights of claimants and promote fair payment practices within the Maryland construction industry.

Maryland Bond Claim Notice is a legal document that provides a claimant with a way to enforce their rights in the event of non-payment for work performed on a construction project protected by a bond. This notice is an essential step for any party seeking to secure their payment on a public construction project in Maryland. It helps protect subcontractors, suppliers, and other laborers involved in the project, ensuring they have a means to collect payment for their services. The Maryland Bond Claim Notice is governed by the Maryland Little Miller Act, which requires the general contractor to obtain a payment bond for public projects exceeding $100,000. This bond serves as a form of insurance, ensuring that any eligible claimants who have not been paid for their work can seek compensation. There are two types of Maryland Bond Claim Notice: the Preliminary Notice and the Final Notice. The Preliminary Notice is the initial step to secure your rights and must be provided within 120 days from the last date when you have furnished labor or supplied materials to the project. It informs the general contractor, the surety, and the property owner that you may file a bond claim if payment is not received. Failure to provide a Preliminary Notice within the prescribed period may result in the loss of your right to make a claim. The Final Notice, also known as the Claim Notice, is the second type of Maryland Bond Claim Notice. It is filed when the claimant has not been fully paid within 90 days from the completion of the project. The Final Notice must be served on the general contractor, the surety, and the property owner, making it clear that legal action may ensue if payment is not made promptly. By timely filing both the Preliminary Notice and the Final Notice, claimants can protect their right to compensation and take legal recourse if necessary. These notices are essential tools that ensure transparency and accountability in the construction industry, safeguarding the interests of subcontractors, suppliers, and laborers. In summary, the Maryland Bond Claim Notice is a crucial legal document for securing payment on public construction projects. It consists of the Preliminary Notice, which should be filed within 120 days of the last furnishing of labor or materials, and the Final Notice or Claim Notice, which is filed within 90 days of project completion if full payment has not been received. These notices protect the rights of claimants and promote fair payment practices within the Maryland construction industry.