A writ of execution is a court order issued to enforce a prior judgement issued by a court. Typically, a court will order a sheriff to take posession of property that is owed by a debtor.
Before the sheriff takes possession of the property, the court may require the plaintiff to secure an Indemnity to Sheriff Bond.
What is an Indemnity to Sheriff Bond?
An Indemnity to Sheriff Bond is a type of Judicial court bond.
The purpose of your Indemnity to Sheriff Bond is to protect law enforcement officers who are seizing property on orders of the court.
The bond guarantees payment or reimbursement to law enforcement officers if they experience losses or damages or if they incur while seizing the property. This bond also protects law enforcement officers from being sued for the seizure of property.
How the Bond Works
An Indemnity to Sheriff Bond protects the law officers involved in the case. See some examples.
If the defendant seeks damages against the sheriff, the sheriff can make a claim against the bond.
Damages include wrongful seizure of property, damages to the property, or executing a writ that is later found to be invalid.
The Bond Claim Process
A bond claim is a complaint against your bond. Anyone can make a claim against your bond, but the claim cannot be for more than the total amount of the bond. Someone might make a claim against your bond for any of the following reasons:
- You failed to pay labor, services or materials costs that were used to seize the property
- The defendant sued the officer and you failed to pay the incurred legal fees
If a claim is filed against your bond, the surety company will investigate the claim to determine its validity. They will reach out to both you and the claimant.
One of two things will happen:
- The surety company will investigate the claim and determine it to be invalid. No further action will be taken.
- The surety company will investigate the claim and determine it to be valid.
If the surety company finds the claim to be valid, they will remind you of your obligations under the bond and ask you to fulfill the claim. Sometimes this involves compensating the officer who seized the property.
If you fulfill the claim, the claim process ends.
If you fail to fulfill the claim, the surety company will step in and pay the claim for you. The surety company will then come to you for reimbursement.
This is how a surety bond differs from an insurance policy. While an insurance company does not expect to be paid back for a claim, a surety company does. You are responsible for cooperating with the surety company during the entire claim process. You are also responsible for paying back the surety company every penny they pay out on a claim.
Indemnity to Sheriff Bond Cost
The Indemnity to Sheriff Bond amount is often determined by the court.
The price you pay for the bond is a small percentage of the bond amount.
Most legal agencies will refer the defendant and plaintiff to an experienced surety bond company where they can purchase a bond at a fair price, especially if the court requires a bond before proceeding.
Typical underwriting involved for securing a sheriff bond includes:
- Review of Indemnity To Sheriff Bond Application
- Assessment of risk (credit check, etc)
- Individual case information and property involved