There are three parties to a contract of Florida surety bond or a Florida fidelity bond:

  • The Principal – the person to perform, to fulfill a contract or to meet an obligation.
  • The Obligee – the one receiving the guarantee that the principal will perform.
  • The Surety – the one who guarantees the performance of the principal to the obligee (most commonly, the bonding company).

Note: There can be another party to a suretyship called an indemnitor. An indemnitor may come into play when the Principal has the capabilities to perform the obligation, but is lacking the financial resources to carry it through to completion. The indemnitor may put up cash, other liquid assets, certificates of deposit (CD’S), etc. to entice the surety to issue the bond to the principal.

Man signing contract


There are two main categories of Florida bonds:

  • Florida Surety Bond. A Florida surety bond guarantees the performance, ability, honesty and integrity of contractors and individuals performing various responsibilities and obligations.
  • Florida Fidelity Bond. A Florida fidelity bond guarantees the honesty and conduct of an employee or someone entrusted by the company.


Florida contract bond. A Florida contract bond is normally required by law on construction work for public bodies (state, county, cities, etc.).

  • Florida Bid Bond. A Florida bid bond is required to accompany a bid for a contract which will require that the contractor or successful bidder furnish further bond if awarded the job. The guarantee is that if the bid is accepted, the contractor or bidder will enter into the contract and will satisfy further bonding requirements for the job.
    If the obligee awards the contract and the contractor or bidder refuses to perform the work or furnish required bond, the Florida bid bond guarantees to the obligee payment for the difference between the amount of that bid and the bid of another contractor which is accepted. The Florida bid bond is provided by the surety which will ultimately furnish the additionally required bond. Thus, the surety underwrites the Florida bid bond based on the concept that it will eventually have to bond the job.
  • Florida Performance Bond. A Florida performance bond is a Florida surety bond. A Florida performance bond replaces a Florida bid bond once the contract has been awarded. It guarantees the financial and physical ability of the contractor or entity receiving the contract to complete the job or service for which the bid was awarded.
  • Florida Payment Bond. A Florida payment bond is a surety bond. The Florida payment bond guarantees that all labor and materials for the project will be paid by the contractor upon completion of the work. A Florida payment bond is generally required when a Florida performance bond is needed and they frequently are combined as a single bond.
  • Florida Maintenance Bond. A Florida maintenance bond is a Florida surety bond. The Florida maintenance bond provides for the contractor, once the job has been completed and accepted, to make corrections for any faulty work or replace defective materials. This may be included as part of the Florida performance and payment bond.
  • Florida Supply Contract Bond. A Florida supply contract bond is a Florida surety bond. Someone purchasing goods from another may require a Florida supply contract bond which guarantees delivery at an agreed upon price.


  • A Florida license bond may be required by a public body for a variety of reasons. Such a bond may simply guarantee the licensee will operate in conformity with general laws. Others may be for the purpose of protecting the public against harm from unfair business practices. The bond may guarantee the proper collection and payment of taxes.
  • A Florida permit bond is a type of Florida surety bond. It is like a Florida license bond, except that it deals with the requirement to get a permit for a specific function rather than continuous operations.

A Florida fiduciary bond and a Florida Court Bond are frequently required by courts in various forms of litigation. These bonds are commonly referred to as Florida judicial bonds. There are two general types of judicial bonds, a Florida fiduciary bond and a Florida court bond.

  • A Florida fiduciary bond is a type of Florida surety bond. A Florida fiduciary bond guarantees the performance of a guardian appointed by a court, or named in a will or deed of trust to take possession of property, collect assets, make investments, pay debts, sell assets, carry on a business, distribute property to heirs, or any combination of these and related tasks. The guarantee is that the person will perform such tasks honestly and faithfully, and rectify any deficiencies found in the performance.
  • A Florida court bond is a Florida surety bond. It is any type of bond required to enable litigants to pursue their remedies at law. A Florida court bond is normally used by creditors.
  • A Florida Administrator/Administratrix Bond is a Florida surety bond. It guarantees performance, honesty, and conduct of an administrator/administratrix. A Florida Administrator/Administratrix Bond is normally purchased to provide protection of a minor, the administrator/administratrix of a will or estate, or the trustee of an estate or trust.
  • A Florida probate Bond is a type of Florida surety bond. A Florida probate Bond is designed for those who administer estates of deceased persons. Such persons are required to collect the assets, file an inventory, give notice to creditors, pay the debts in proper order, distribute the balance to those entitled under the law, and account to the court.
  • Florida Supply Contract Bond. A Florida supply contract bond is a Florida surety bond . Someone purchasing goods from another may require a Florida supply contract bond which guarantees delivery at an agreed upon price.


  • A Florida employee dishonesty bond will guarantee owners and employees, up to the bond amount, in the event a client claims an item was stolen while the owner or employee were performing work for them.
  • A Florida Public Official Bond is a type of Florida surety bond. A true Florida Public Official is one who is accountable to the public. Their responsibilities are generally considered serious enough that he or she is required to take a public oath of office. The Florida public official bond covers the official’s term of office and guarantees that the bonded official will faithfully perform his official duties.
  • A Florida Lost Instrument Bond is a type of Florida surety bond that is required by the issuer of stock certificates, certificates of deposit, passbook savings, treasury bonds, etc. in the event these items have been lost or stolen. A Florida Lost Instrument Bond is required if the owner has lost the original documents and the documents must be reissued. The Florida Lost Instrument Bond guarantees to hold the issuer harmless from any loss growing out of the lost instrument.
  • A Florida self insurance bond is a type of Florida surety bond. A Florida self insurance bond may be provided to an authority as evidence of compliance with an insurance requirement. The most common example is a larger employer who is self-insured for workers compensation or auto liability to show compliance with state law and guaranteeing financial responsibility to respond to obligations in the form of a Florida self insurance bond.

Source: The Florida Department of Financial Services Library