California Invention Developer Bond
Pursue your dream as an inventor developer with this surety bond!
What is a California Invention Developer Bond?
This bond is required by law to ensure that invention developers will perform the invention development services listed in the contract that they have entered into with their respective clients.
An invention developer is any person, firm, corporation, or association that develops or promotes or offers to develop or promote an invention. This will include the invention developer’s agents, employees, or representatives of such person, firm, corporation, or association.
This bond must be submitted to the California Secretary of State. The invention developer is obligated to obey the provision of the California Business and Professions Code starting with Section 22370 as part of the bond’s conditions.
If the invention developer violates any of the Code’s provisions or fails to disclose the information required by Section 22379 of the said Code, the person who will suffer damages will be able to receive any of the following:
- Thrice the amount of the actual damages
How much does a California Invention Developer Bond cost?
The bond cost will range from 1% to 5% of the bond amount — depending on the invention developer’s credit score.
The bond amount is $25,000 or 5% of the invention developer’s gross income from the invention development business during the last fiscal year.
Once you have determined your bond amount, you can find out what your bond premium will be by claiming your FREE SURETY BOND QUOTE HERE!
How can I get a California Invention Developer Bond?
The first thing that you should do is to apply for this bond. If you’re ready to apply for one right now, you may easily do so HERE!
Your application will be processed as soon as we’ve received it. One of our expert surety bond agents will contact you regarding the next step. You will be guided throughout the whole process. We will make sure that you understand all the conditions before we issue the bond.
An underwriter will assess the following during the prequalification step:
- Your financial strength
- Your job/business performance history
- Your credit score
Once that’s done, you’ll be asked to sign an indemnity agreement. After that, the bond will be issued and sent to you.
How does a California Invention Developer Bond work?
This bond will provide a path of recourse for the Obligee if the Principal fails to perform the contractual services or commits a Code violation. The Obligee is the State of California and to whom the obligation is owed. The party who must fulfill the obligation is the Principal. The Principal is the Invention developer. The 3rd party – the Surety – will financially back the Principal. In doing so, the immediate financial responsibility will be shouldered by the Surety. When a bond claim is made, it’s the duty of the Surety to settle the claim once the validity of the claim has been determined.
You may submit your application HERE!