Thank you Tom - I truly appreciate your input.
Yes, I did receive some responses which helped me to develop a process for the organization for which I work. Anyway, I added your response to my records too. ;)
------------------------------
Cindy Nelson-Walters CCIFP
Management Professional
Great Lakes Water Authority
Northville MI
(313) 418-4423
------------------------------
Original Message:
Sent: 01-14-2025 14:38
From: Tom Mandel
Subject: Payment/Performance Bonds Question
Cindy,
Not sure if you received help with this but happy to help. No, the owner should retain them. In this case, since the bonds are for the benefit of the owner (as the Obligee), they should retain the original and fully executed bonds in their file. Certainly, they can provide a copy of the fully executed bond to the contractor but the originals should be retained by the owner.
This would apply regardless of the Obligee type. As an example, when an Obligee is a public entity (city, county, etc.), the bonds are recorded into public record at the corresponding Clerk of Courts.
Tom
------------------------------
Tom Mandel
Client Risk Advisor
Sterling Seacrest Pritchard
Tampa FL
(315) 939-9664
tmandel@sspins.com
Original Message:
Sent: 01-30-2024 12:34
From: Cindy Nelson-Walters
Subject: Payment/Performance Bonds Question
Hi CFMA Members:
Is the Owner of a project required to return the original hard copy of the payment/performance bonds to the contractor? Please let me know your thoughts.
Stay safe.
------------------------------
Cindy Nelson-Walters CCIFP
Management Professional
Great Lakes Water Authority
Northville MI
(313) 418-4423
------------------------------