Pennsylvania Indemnification of Surety on Contractor's Bond by Subcontractor

• Category: Contracts - Indemnification
• State: Multi-State
• Control #: US-13381BG
• Format: Word; Rich Text

Description

To indemnify means to reimburse another for a loss suffered because of a third party's or one's own act or default. It can also refer to a promise to reimburse another for such a loss or to give another security against such a loss. Pennsylvania Indemnification of Surety on Contractor's Bond by Subcontractor: The Pennsylvania Indemnification of Surety on Contractor's Bond by Subcontractor refers to a legal provision required in construction contracts within the state. This provision outlines the subcontractor's responsibility to indemnify the surety company that issues the contractor's bond against any potential losses or liabilities that may arise from the subcontractor's work. Keywords: Pennsylvania, indemnification, surety, contractor's bond, subcontractor, construction contracts Types of Pennsylvania Indemnification of Surety on Contractor's Bond by Subcontractor: 1. Performance Bond Indemnity: This type focuses on the subcontractor's obligation to cover any losses incurred by the surety in case the contractor fails to fulfill their performance obligations under the contract. In such instances, the subcontractor will be liable to reimburse the surety for any financial damages suffered. 2. Payment Bond Indemnity: This variant of the indemnification provision highlights the subcontractor's responsibility to compensate the surety for any losses resulting from the subcontractor's failure to pay suppliers, subcontractors, or laborers as required by the contractor's bond. The subcontractor will be required to indemnify the surety for any financial damages arising from non-payment issues. 3. Bid Bond Indemnity: This form of indemnification addresses the subcontractor's liability towards the surety for any costs or losses incurred due to the subcontractor's withdrawal of a bid or failure to accept a contract awarded after a successful bid. The subcontractor must indemnify the surety in case a bid bond is forfeited or any additional expenses are incurred due to the subcontractor's actions. It is essential for both contractors and subcontractors to thoroughly comprehend and abide by these indemnification provisions to ensure compliance with Pennsylvania law and safeguard the interests of all parties involved in the construction project. Note: It is always advised to consult a legal professional for specific guidance related to Pennsylvania Indemnification of Surety on Contractor's Bond by Subcontractor, as laws and regulations may vary and evolve over time.

Pennsylvania Indemnification of Surety on Contractor's Bond by Subcontractor: The Pennsylvania Indemnification of Surety on Contractor's Bond by Subcontractor refers to a legal provision required in construction contracts within the state. This provision outlines the subcontractor's responsibility to indemnify the surety company that issues the contractor's bond against any potential losses or liabilities that may arise from the subcontractor's work. Keywords: Pennsylvania, indemnification, surety, contractor's bond, subcontractor, construction contracts Types of Pennsylvania Indemnification of Surety on Contractor's Bond by Subcontractor: 1. Performance Bond Indemnity: This type focuses on the subcontractor's obligation to cover any losses incurred by the surety in case the contractor fails to fulfill their performance obligations under the contract. In such instances, the subcontractor will be liable to reimburse the surety for any financial damages suffered. 2. Payment Bond Indemnity: This variant of the indemnification provision highlights the subcontractor's responsibility to compensate the surety for any losses resulting from the subcontractor's failure to pay suppliers, subcontractors, or laborers as required by the contractor's bond. The subcontractor will be required to indemnify the surety for any financial damages arising from non-payment issues. 3. Bid Bond Indemnity: This form of indemnification addresses the subcontractor's liability towards the surety for any costs or losses incurred due to the subcontractor's withdrawal of a bid or failure to accept a contract awarded after a successful bid. The subcontractor must indemnify the surety in case a bid bond is forfeited or any additional expenses are incurred due to the subcontractor's actions. It is essential for both contractors and subcontractors to thoroughly comprehend and abide by these indemnification provisions to ensure compliance with Pennsylvania law and safeguard the interests of all parties involved in the construction project. Note: It is always advised to consult a legal professional for specific guidance related to Pennsylvania Indemnification of Surety on Contractor's Bond by Subcontractor, as laws and regulations may vary and evolve over time.