When Project Owners Must Provide Copies of Payment Bonds to Potential Bond Claimants

By Kathy Hoffman posted 05-03-2019 05:32 PM


shutterstock_1066491641.jpgOwners and subcontractors take note: Private construction project owners are not required to provide copies of payment bonds to potential claimants, although some standardized contract agreements include the right of subcontractors to request copies. Most public owners, however, have obligations to provide such bonds upon request. 

Indeed, the Federal Acquisition Regulations (FAR) provide authority for subcontractors and suppliers AND prospective subcontractors and suppliers on federal projects to request and obtain copies of payment bonds from the contracting officer. FAR 28.106.6(d) provides as follows: 

Upon the written or oral request of a subcontractor/supplier, or prospective subcontractor/supplier, under a contract with respect to which a payment bond has been furnished pursuant to the [Miller Act], the contracting officer shall promptly provide to the requester, either orally or in writing, as appropriate, any of the following:

  1. Name and address of the surety or sureties on the payment bond.
  2. Penal amount of the payment bond.
  3. Copy of the payment bond. The contracting officer may impose reasonable fees to cover the cost of copying and providing a copy of the payment bond.

Need a bond producer, click on "Find a Surety Pro" at https://www.nasbp.org/guaranteed/home.