Bonds and UndertakingsPersonal Sureties

Section § 995.510

Explanation

This law explains the requirements for someone to be a personal surety on a bond. To qualify, the surety must be someone other than the main party involved in the bond, not a court officer or a lawyer. The surety must live in the state and own property or be a householder there. Additionally, they must be financially capable, owning assets in the state that are worth more than the bond amount, minus any debts. If the bond is over $10,000 and involves more than two sureties, each surety can be worth less than the bond provided their combined assets equal at least twice the bond amount.

(a)CA Civil Procedure Code § 995.510(a) A personal surety on a bond is sufficient if all of the following conditions are satisfied:
(1)CA Civil Procedure Code § 995.510(a)(1) The surety is a person other than the principal. No officer of the court or member of the State Bar shall act as a surety.
(2)CA Civil Procedure Code § 995.510(a)(2) The surety is a resident, and either an owner of real property or householder, within the state.
(3)CA Civil Procedure Code § 995.510(a)(3) The surety is worth the amount of the bond in real or personal property, or both, situated in this state, over and above all debts and liabilities, exclusive of property exempt from enforcement of a money judgment.
(b)CA Civil Procedure Code § 995.510(b) If the amount of a bond exceeds ten thousand dollars ($10,000) and is executed by more than two personal sureties, the worth of a personal surety may be less than the amount of the bond, so long as the aggregate worth of all sureties executing the bond is twice the amount of the bond.
personal surety bond resident requirement ...

Section § 995.520

Explanation

When someone backs a bond with personal sureties, they have to provide a sworn statement about each surety's qualifications. This includes their personal details and assurance that they own property in the state. If the bond is over $5,000, additional detailed property info must be given, such as value and any existing liens. For bonds over $10,000 with multiple sureties, each surety doesn't need to cover the full bond amount as long as together, they cover twice the bond amount.

(a)CA Civil Procedure Code § 995.520(a) A bond executed by personal sureties shall be accompanied by an affidavit of qualifications of each surety.
(b)CA Civil Procedure Code § 995.520(b) The affidavit shall contain all of the following information:
(1)CA Civil Procedure Code § 995.520(b)(1) The name, occupation, residence address, and business address (if any) of the surety.
(2)CA Civil Procedure Code § 995.520(b)(2) A statement that the surety is a resident, and either an owner of real property or householder, within the state.
(3)CA Civil Procedure Code § 995.520(b)(3) A statement that the surety is worth the amount of the bond in real or personal property, or both, situated in this state, over and above all debts and liabilities, exclusive of property exempt from enforcement of a money judgment.
(c)CA Civil Procedure Code § 995.520(c) If the amount of the bond exceeds five thousand dollars ($5,000), the affidavit shall contain, in addition to the information required by subdivision (b), all of the following information:
(1)CA Civil Procedure Code § 995.520(c)(1) A description sufficient for identification of real and personal property of the surety situated in this state and the nature of the surety’s interest therein that qualifies the surety on the bond.
(2)CA Civil Procedure Code § 995.520(c)(2) The surety’s best estimate of the fair market value of each item of property.
(3)CA Civil Procedure Code § 995.520(c)(3) A statement of any charge or lien and its amount, known to the surety, whether of public record or not, against any item of property.
(4)CA Civil Procedure Code § 995.520(c)(4) Any other impediment or cloud known to the surety on the free right of possession, use, benefit, or enjoyment of the property.
(d)CA Civil Procedure Code § 995.520(d) If the amount of the bond exceeds ten thousand dollars ($10,000) and is executed by more than two sureties, the affidavit may state that the surety is worth less than the amount of the bond and the bond may stipulate that the liability of the surety is limited to the worth of the surety stated in the affidavit, so long as the aggregate worth of all sureties executing the bond is twice the amount of the bond.
personal sureties affidavit of qualifications bond value ...