Replevin Bonds

At Surety Bonds Agent, we offer a full range of surety bonds nationwide through an extended carrier network. Learn more about replevin bonds below, and contact us today to request a quote. If you have additional questions or want to explore bonding solutions for your business, speak with one of our knowledgeable surety bond experts.

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What Are Replevin Bonds?

A replevin bond is a type of court bond that comes into play in a legal recovery process called “replevin,” which is known in some states as “claim and delivery,” “sequestration, or “revendication.” The process allows a plaintiff in a civil matter to take possession of contested physical property from the defendant before there has been a ruling or even a hearing in the case. This is what happens when a bank or finance company repossesses a vehicle after too many payments are missed on a car loan.

The plaintiff applies to the court to have papers served on the defendant, and the property is seized by the sheriff or other agent authorized to deliver the property to the plaintiff. The plaintiff will retain the property pending a decision by the court as to which party is the rightful owner. In most cases, the plaintiff seeking possession of the property must first purchase a replevin bond.

A replevin bond is the plaintiff’s pledge to make the defendant whole if the court later rules in favor of the defendant and orders the return of the property that was seized. The bond guarantees that the plaintiff will return the property to the defendant and pay the defendant’s court fees and legal costs. It also guarantees the payment of damages to the defendant if the property is returned in anything other than the condition it was when the plaintiff took possession of it.

Who Needs Them?

Repossession is not the only situation in which a replevin bond may be required. Other situations in which a replevin bond may be needed include:

  • A landlord who has seized a tenant’s physical property for nonpayment of rent
  • The executor of an estate is withholding a decedent’s property from an heir or beneficiary

The court will inform the party seeking seizure of a defendant’s physical property if a replevin bond is necessary. They will also determine the required amount of the bond, which typically is twice the value of the property in question.

At Surety Bonds Agent, we offer a full range of surety bonds nationwide through an extended carrier network. Learn more about replevin bonds below, and contact us today to request a quote. If you have additional questions or want to explore bonding solutions for your business, speak with one of our knowledgeable surety bond experts.

CONTACT US FOR A

FREE REPLEVIN BOND QUOTE

What Are Replevin Bonds?

A replevin bond is a type of court bond that comes into play in a legal recovery process called “replevin,” which is known in some states as “claim and delivery,” “sequestration, or “revendication.” The process allows a plaintiff in a civil matter to take possession of contested physical property from the defendant before there has been a ruling or even a hearing in the case. This is what happens when a bank or finance company repossesses a vehicle after too many payments are missed on a car loan.

The plaintiff applies to the court to have papers served on the defendant, and the property is seized by the sheriff or other agent authorized to deliver the property to the plaintiff. The plaintiff will retain the property pending a decision by the court as to which party is the rightful owner. In most cases, the plaintiff seeking possession of the property must first purchase a replevin bond.

A replevin bond is the plaintiff’s pledge to make the defendant whole if the court later rules in favor of the defendant and orders the return of the property that was seized. The bond guarantees that the plaintiff will return the property to the defendant and pay the defendant’s court fees and legal costs. It also guarantees the payment of damages to the defendant if the property is returned in anything other than the condition it was when the plaintiff took possession of it.

How Do They Work?

A replevin bond is a legally binding contract between three parties:

  • The court (the “obligee” requiring the bond)
  • The plaintiff (the “principal” seeking seizure of the defendant’s physical property)
  • The surety bond company (the “surety” issuing the bond)

If the court finds the defendant to be the rightful owner of physical property seized by the plaintiff, the plaintiff must return the property to the defendant. The defendant can file a claim against the replevin bond for payment of court costs, legal fees, and compensation for any damages to the property resulting from its seizure.

The surety will ensure the return of the defendant’s property. While the legal obligation to pay court costs, legal fees, and damages rests solely with the principal, the surety typically will make payment if the principal doesn’t do so promptly. The principal must then repay that debt to the surety.

What Do They Cost?

The premium for a replevin bond is a small percentage of the required bond amount. The surety most likely will require full collateralization of the bond in addition to payment of the bond premium.

The premium rate will be determined by the surety based on an assessment of the risk involved in paying a claim on behalf of the principal. The underwriters will take a close look at the principal’s personal credit score and financial situation. They will also try to determine the strength of the principal’s case and the likelihood of a claim by the defendant. The premium rate for a well-qualified principal should be in the standard market range of one to three percent.

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Request a quote online or call today to speak with one of our surety bond experts about obtaining a replevin bond.