Three Parties of the California Commercial Information Requester Bond.
The California Commercial Information Requester Bond is a three-part agreement among the obligee, the principal, and the surety company. California DMV (obligee) requests the bond from the CA Commercial Information Requester (principal). The DMV requires every commercial information requester to file a surety bond. If the commercial information requester does not comply with the bond requirements, any party harmed can file a claim against the principle. If approved, the surety company pays the claim up to the full bond amount. The principal must then repay the surety company for the paid claim.
The 3 Parties of a Surety Bond
What does the Bond do?
The California Commercial Information Requester Bond protects the public and the government from harm caused by the principal. With this bond, the principal promises to pay all fees and costs associated with releasing or accessing information from DMV records. If the principle fails to do so, a claim may be filed on the bond.
Bond Amount, Cost, and Validity.
The California DMV, as obligee, sets the bond amount at $50,000. The harmed party may file a claim up to $50,000, being the limit.
The bond premium, or cost, generally runs 1-3% of the bond amount, but can go higher with challenged credit. Premiums are the only cost throughout the bonding process that the surety company charges. The surety bond company charges this premium; all DMV costs are separate.
This Bond remains in effect if the principle pays the annual premium and remains authorized with the DMV. If the principle or surety company cancels the bond, the DMV must be notified at least 30 days before the cancellation date.
You can apply online for this bond by clicking here. Surety1.com is the premier online provider of surety bonds nationwide since 2003.