Supersedeas Bond: All That You Need to Know

What Does “Supersedeas” Mean?

Supersedeas is Latin for “you must desist.” In practice, a supersedeas bond secures a stay, a court order that tells the winning party they must hold off on collecting the judgment until the appeal is decided. Without the bond, the party that won at trial can usually begin collecting right away, even while the loser is appealing.

 

Supersedeas Bond vs. Appeal Bond: Same Thing

People often ask whether a supersedeas bond and an appeal bond are different. For practical purposes, they are the same bond. “Appeal bond” is the everyday term and “supersedeas bond” is the more formal legal term, but both refer to the security an appellant posts to stay enforcement of a money judgment during an appeal. If a court or your attorney has asked for either one, you are in the right place.

 

Why You Need a Supersedeas Bond

The bond protects both sides. For the party that won at trial (the appellee), it guarantees they will be paid the judgment, plus interest and costs, if the appeal fails. For the party appealing (the appellant), it buys a stay so they do not have to pay the judgment until the appeal is finally decided. It also discourages frivolous appeals filed only to delay payment.

 

To be clear about who does what: the appellant, the party that lost and is appealing, is the one who posts the supersedeas bond. The appellee does not post it. They are the one the bond protects.

 

How Much Is a Supersedeas Bond?

The bond amount is set by the court and is tied to the judgment, not to your credit. It generally equals the amount of the judgment plus an allowance for interest and costs that will accrue during the appeal. The exact formula varies by jurisdiction.

• Federal courts: Under Federal Rule of Civil Procedure 62, as amended in December 2018, there is an automatic 30-day stay after a judgment is entered. To extend the stay through the appeal, the appellant posts a bond or other security approved by the court. (The rule used to provide a shorter automatic stay, which is why older guides reference different numbers.)
• California: Under Code of Civil Procedure 917.1, the bond (called an undertaking) is set at 150% of the judgment amount for a money judgment. This is a good example of how states add a cushion above the bare judgment.
• Other states: Many states cap or adjust the bond amount, and some allow the court to reduce it in cases of demonstrated financial hardship. Your attorney or the court clerk can confirm the exact amount in your case.

Note that the bond amount is the coverage figure, not what you pay out of pocket beyond the collateral. Every case is different, so call us at 800-333-7800 and we will walk through your specific numbers.

 

How to Get a Supersedeas Bond

The process moves quickly once we have your documents and collateral lined up:

1. Contact us. Call 800-333-7800 or request a quote online. Because these bonds are time-sensitive, the sooner the better.
2. Submit your documents. We will need the completed application, the bond form from the court, the notice of appeal, the judgment, any applicable financial statements, and details on your proposed collateral.
3. Underwriting review. The surety will want to understand the case, including your attorney’s evaluation of the appeal. Because the bond is fully collateralized, this moves faster than most large bonds.
4. Post collateral and get bonded. Once you wire the collateral or provide the ILOC and sign the indemnity agreement, the surety issues the bond so you can file it with the court and secure your stay.

Supersedeas Bond FAQs

Is a supersedeas bond the same as an appeal bond?

Yes. For practical purposes they are the same instrument. “Appeal bond” is the common term and “supersedeas bond” is the formal legal term. Both secure a stay of enforcement of a money judgment while it is appealed.

Who posts the supersedeas bond, the appellant or the appellee?

The appellant, the party that lost at trial and is appealing, posts the bond. The appellee is the party the bond protects.

How much collateral does a supersedeas bond require?

100%. Because appellants lose a large share of appeals, the surety requires full collateral, typically a wire transfer or an irrevocable letter of credit (ILOC) from a U.S. bank.

How is the bond amount calculated?

The court sets it based on the judgment, usually the judgment amount plus interest and costs. California, for example, requires 150% of the judgment under CCP 917.1. Federal cases follow FRCP 62.

How fast can I get a supersedeas bond?

Faster than most large bonds, because the bond is fully collateralized. Once we have your court documents and collateral in place, we can move quickly. Call us at 800-333-7800 given how time-sensitive these are.

Can the court reduce or waive the bond?

Sometimes. Some courts will reduce the required amount if the appellant demonstrates genuine financial hardship and good faith. This varies by jurisdiction, so check with your attorney or the court.

 

Get Your Supersedeas Bond Today

Supersedeas and appeal bonds are time-sensitive, and the 100% collateral requirement means it helps to work with a surety team that handles these every day. We have been writing court bonds since 1971, and we will tell you exactly what to expect before you commit. Attorneys, let’s work through the specifics of your client’s case together.

Facing a judgment you want to appeal? Get a free quote online or call us at 800-333-7800 to get your stay secured.

Questions about your specific case? Contact us and we will walk you through it. You can also explore our full appeal bond resources and state-specific appeal bond pages.