What Is a "consent of Surety"?
Last Updated Mar 28, 2020 10:53:11 AM ET
A "consent of surety" is defined by federal law as the consent a contracting party must receive from the surety on changes made to an initial contract, according to the Legal Information Institute at Cornell University Law School. In certain cases, obtaining a consent of surety is required by law.
According to the Legal Information Institute, a consent of surety is needed in all cases when additional bond is obtained from someone other than the original surety. Even if a new bond is not taken out, any contract changes that expand the scope of a project or change the price require consent. The surety is the party that guarantees payment from the contracting party to the contractor, according to Investopedia.
More From Reference
How Do You Apply for Social Security Benefits?
How Did the VW Beetle Become an Emblem of the '60s?
We Explain the Complicated History of Myanmar and Aung San Suu Kyi
Financing the Future: Setting Up Savings Plans for Grandchildren
Responsible Retirement: What's the Maximum Amount You Can Contribute to a 401(k)?
10 Small Business Grants for Women Entrepreneurs