Directed surety occurs when owners designate a specific producer or surety company from which contractors must obtain surety bonds for a specific project or series of projects.

Who prohibits directed suretyship?

  • The federal government prohibits directed suretyship on federal projects.
  • 42 states have statutory prohibitions against directed suretyship.

The state Anti-Directed Surety Statute citation is shown below. A version of this resource in chart form is available here.

S.C. Code Ann. §11-1-120 (payment)

                                          S.C. Code Ann. § 11-35-35 (State Government)

                                          S.C. Code Ann. § 57-5-1660 (d) (DOT)

                                          S.C. Code Ann. § 29-6-250 (1) (payment provision)

For more information, contact Larry LeClair.

Topic
Advocacy
Publish Date
November 6, 2024
Region
South Carolina
Audience
Agents, Contractors, Owners, Sureties
Resource Type
Anti-Directed Surety Statutes, Resource Map