SUBSURETY Meaning and
Definition
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Subsurety refers to a legal term that is commonly used in the context of a surety bond agreement. A subsurety is an individual or entity that assumes a secondary or additional liability for the fulfillment of another party's obligations under a surety bond. In such an agreement, the subsurety assures the creditor that they will be responsible for any unpaid debts or breaches of contract in the event that the primary surety is unable to fulfill their obligations.
The subsurety essentially acts as a back-up or secondary surety, providing an extra layer of security to the creditor. They agree to step in should the primary surety fail to meet its obligations, guaranteeing the performance or payment as specified in the surety bond. This secondary liability offered by the subsurety adds an additional level of protection to the creditor, reducing their risk in the transaction.
In practical terms, the subsurety assumes the position of the primary surety, effectively becoming liable for any losses incurred by the creditor due to non-performance or non-payment. They are bound by the terms and conditions of the surety bond and may be required to fulfill the obligations themselves or provide compensation for any losses suffered by the creditor.
Overall, subsurety is a legal arrangement that involves a secondary surety assuming responsibility for the fulfillment of obligations under a surety bond, enhancing the guarantee provided to the creditor.
Common Misspellings for SUBSURETY
- aubsurety
- zubsurety
- xubsurety
- dubsurety
- eubsurety
- wubsurety
- sybsurety
- shbsurety
- sjbsurety
- sibsurety
- s8bsurety
- s7bsurety
- suvsurety
- sunsurety
- suhsurety
- sugsurety
- subaurety
- subzurety
- subxurety
- subdurety
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