California Dance Studio Bond
A quick guide to one of the most important requirements for dance studios!
What is a California Dance Studio Bond?
To protect the clients against any unlawful activities, the Secretary of State obligates every person who will contract for dance studio lessons and other services to procure this bond.
This bond will ensure that the said person will comply with Sections 1812.50 - 1812.69 of the Civil Code. Some of the obligations listed in the said provisions are as follows:
- The lesson will begin within six months from the date the contract is entered.
- The contract can be canceled by the student at any time as long as the student provides the dance studio a written cancellation notice.
- The dance studio shall refund the student within 10 days of receiving the cancellation notice of any payment owed to the student.
A contract for dance studio lessons and other services refers to a contract for instruction in a ballroom or other types of dancing that’s provided to individuals or groups.
How does a California Dance Studio Bond work?
There are three parties in this agreement: Principal, Obligee, and the Surety.
The Principal is the person who will contract for dance studio lessons and other services. The Principal is responsible for fulfilling the obligations stated in the aforementioned sections of the Civil Code. The Surety (surety bond provider) will partner with the Principal by extending its credit to the latter. The Surety will protect both the Principal and the Obligee (State of California) for any financial loss.
If a claim is filed by the Obligee due to the alleged misconduct of the Principal, it is the duty of the Surety to validate the claim before any payment is made. The Surety will check if the Principal has indeed committed a violation. If the claim is valid, the Surety will pay the Obligee; however, the Principal must reimburse the Surety soon after.
How much does a California Dance Studio Bond cost?
If you have an excellent credit score, you will be eligible to pay for a low bond premium or just 1% of the bond amount!
The bond amount is $25,000.
Check out what you need to pay by getting your FREE SURETY BOND QUOTE HERE!
How can I get a California Dance Studio Bond?
Here’s what to do to get bonded:
- You must first apply for this bond. If you are ready to do that now, you may APPLY HERE!
- After we’ve received your application, we’ll ask you to submit the necessary information needed for the underwriting process. These are the following:
- Your financial capability
- Your business or job performance history
- Your credit score
An expert underwriter will carefully evaluate all three to attain the best credit decision possible. To avoid any delay, the information that you should submit should be organized and concise.
- After you’ve signed the indemnity agreement, your surety bond will be issued and sent to you!
Fast approval! APPLY NOW!