court surety bond
Plaintiff‘s-Attachment Bond
Getting this surety bond is straightforward. Let us help you get bonded!
If you are in active litigation and need to attach a defendant’s property as security for your claim, you are likely going to need a plaintiff’s-attachment bond. We have been writing these since 1971 and can usually have one issued the same day once the court has set the bond amount.
A plaintiff’s-attachment bond (also commonly called a plaintiff attachment bond, or simply an attachment bond) is one of several court surety bonds used to protect parties throughout the litigation process. It is issued when the plaintiff in a civil case wants to attach property belonging to the defendant as security for a claim made against the defendant. The bond ensures the defendant will be compensated if the property is later found to have been wrongfully taken.
What Is a Plaintiff’s-Attachment Bond?
A plaintiff may want to attach the property of the defendant if there is reason to believe that the defendant will not pay the judgment. State laws allow courts to attach the property of the defendant at the request of the plaintiff before a full trial begins. That is why it is called an attachment bond. A summary court proceeding must first establish that the plaintiff has legal grounds to request the property attachment before the court will grant the request. The most common legal ground is that the defendant is suspected of planning to defraud the plaintiff by leaving the state or secretly disposing of the disputed property.
Pre-judgment attachment is governed by state rules of civil procedure, and the specifics differ a lot from one jurisdiction to another. Some states require a hearing on notice. Some allow ex parte showings on a verified pleading. Some have specific formulas for setting the bond amount, including caps or multipliers tied to the damages sought. We file plaintiff’s-attachment bonds in all 50 states. Call us with your case information and we will tell you what your jurisdiction requires.
In an attachment bond, the plaintiff (or the creditor that requested the attachment of the property) is the Principal. The court is the Obligee. The attachment bond ensures that the creditor will pay the debtor for any damages the debtor suffered as a result of the attachment if the case is settled in the debtor’s favor. If the creditor refuses or fails to pay the damages, the surety must pay the debtor. The debtor also has the right to sue the surety in his or her name.
Note: For defendants who wish to counter an Attachment Bond that has been purchased by the plaintiff, the Release Attachment Bond is another type of surety bond that can be purchased by the defendant to retain possession of the assets until the case has been decided by the court.
What Documents Do I Need to Obtain an Attachment Bond?
- Copy of Complaint
- Copy of Court Order approving the bond
- Completed Application
- Financial Statement (if you are attempting to obtain this bond without collateral)
- If collateral is required, then a Collateral Agreement is signed.
Do I Need Collateral to Obtain an Attachment Bond?
We can usually approve a plaintiff’s-attachment bond without collateral if you have good credit and the financial strength to support the bond size. Collateral may be required if your credit is weaker or your financial position is not strong enough for the bond amount the court has set. Check out our guide to understanding collateral.
What Is the Cost of an Attachment Bond?
The court sets the bond amount. Plaintiff’s-attachment bonds are typically written at approximately 1% to 2% of the bond amount, though every situation is unique. The exact premium depends on the bond size, whether the bond is fully collateralized, and the applicant’s underwriting profile. Call us at 800-333-7800 or request a free, no-obligation quote and we will give you a real number for your specific situation. Premiums are paid annually, in full, at issuance.
How Long Does It Take to Obtain an Attachment Bond?
Each situation is unique. We can often issue these bonds in one day. We do caution our clients not to push deadlines because unexpected situations can occur, particularly when collateral needs to be wired or when the court requires an original wet-signature bond.
Examples of Attachment
Case 1
Mark borrowed $1,000 from his friend John on the condition he would pay back after several days. Mark failed to repay the money after several months, prompting John to seek legal remedy and sue Mark to force him to pay the loan back.
John learned that Mark is planning on leaving the town and moving to another state. He also learned that Mark is maintaining a savings account in one of the town’s banks with enough money to cover his loan.
John then petitioned the court to issue a writ of attachment to have Mark’s bank account attached to the litigation. After filing the necessary attachment bond and presenting proof that Mark will flee, the court will issue the writ and attach the bank account to cover the judgment in the case of a ruling favorable to John.
Case 2
Kevin owns a car rental business. When Kevin’s business was hit by a slump in the market, he was forced to borrow money from a local lender. But Kevin and his creditor encountered an issue with the terms of the loan and the issue was brought to court.
The creditor then petitioned the court to attach Kevin’s vehicles to satisfy the debt, telling the court that he intends to leave the area of the court’s jurisdiction with the vehicles. Kevin subsequently won the lawsuit but suffered some losses, mainly lost income from his rental business as a result of the attachment.
The surety is liable to reimburse Kevin for the rental loss if the lender fails to pay for the damages. Kevin can also sue the surety.
Case 3
George is living a lifestyle he could not afford. His reckless lifestyle sunk him into indebtedness and left him incapable of paying his debt.
One of his creditors sued him in court and petitioned to attach George’s house to cover his debt. The creditor found that George is trying to sell the house to cover some of his debts and use some of the money to start a new life somewhere.
After satisfying the court about George’s intention to dispose of the property and leave the area within its jurisdiction, the court granted the creditor’s request for a writ of attachment. The writ effectively ordered the seizure of the house until the final judgment is rendered.
Attachment Bonds and Temporary Restraining Orders: How They Compare
A court may order a pre-judgment writ of attachment after the plaintiff has satisfactorily presented proof of fraud or that the defendant is planning to dispose of or hide the asset. In essence, a pre-judgment writ of attachment functions in a similar way to a temporary restraining order (TRO) because it preserves the status quo pending the court’s final decision on the lawsuit. It ensures the seized property is held in place pending final resolution of the case.
The key difference: a pre-judgment writ of attachment provides financial recovery for the plaintiff. A TRO does not provide that financial backstop. A pre-judgment writ of attachment can also be costly. A judge may set the surety bond amount for a pre-judgment writ of attachment up to two times the amount of damages sought.
Video Guide: Discover how attachment bonds allow plaintiffs to secure property while ensuring defendants are protected against wrongful claims.
If you are in need of an Attachment Bond, or any other type of bond, give us a call.
Frequently Asked Questions
How fast can I get a plaintiff’s-attachment bond?
We can often issue an attachment bond the same day once the court has set the bond amount and we have your application and supporting documents. Bonds that require collateral take a little longer because the funds need to be wired before the bond can be issued.
Do I need collateral for a plaintiff’s-attachment bond?
Usually no. We can typically approve a plaintiff’s-attachment bond without collateral if you have good credit and are financially stable enough to support the bond size. Collateral is sometimes required if your credit is weaker or your finances are not strong enough for the bond amount. We will tell you upfront which category your application falls into so there are no surprises.
What does a plaintiff’s-attachment bond cost?
These bonds are typically written at approximately 1% to 2% of the bond amount, though every situation is unique. The exact premium depends on the bond size, whether it is fully collateralized, and the applicant’s underwriting profile. Call us at 800-333-7800 or request a free quote and we will give you a real number for your specific situation.
What is the difference between a plaintiff’s-attachment bond and a release of attachment bond?
The plaintiff’s-attachment bond is purchased by the plaintiff to obtain a writ of attachment against the defendant’s property. The release of attachment bond is purchased by the defendant to recover or retain possession of property that has already been attached. They are flip sides of the same proceeding.
Does pre-judgment attachment work the same way in every state?
No. Pre-judgment attachment is governed by state rules of civil procedure, and the specifics vary significantly. Some states require a hearing on notice, some allow ex parte showings, and some have specific formulas for setting the bond amount. We file in all 50 states and can walk you through the requirements for your jurisdiction.
What documents do I need to apply?
A copy of the complaint, a copy of the court order approving the bond, a completed application, a financial statement (if applying without collateral), and a collateral agreement (if collateral is required). We will send you the application and walk you through what we need.
Ready to File Your Attachment Bond?
If you are in active litigation and need a plaintiff’s-attachment bond, time matters. Surety Bond Authority has been writing court bonds since 1971 and we move fast. Call us with your case information and we will tell you exactly what your jurisdiction requires and how quickly we can get you bonded.
Call us at 800-333-7800 or get a free quote.