Companies are often asked to provide guarantees or bonds in commercial transactions. I set out below the various types of guarantees and bonds that are most often used in the commercial context.
Tender guarantee or bid bond.
Advance payment guarantee or bond.
Performance guarantee or bond.
Other guarantees or bonds include retention guarantee or bonds and maintenance retention guarantees or bonds or adjudication bonds.
Izaz Ali (Izaz.Ali@lawdit.co.uk) Izaz is a commercial lawyer who specialises in information technology law and intellectual property law with an emphasis on IT, escrow, online and off-line contracts, and the buying and selling of online businesses.