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.

Tex. Gov’t. Code § 2253.021 (g) (state and local contracts)

                     Tex. Gov’t. Code §  2166.258 (Texas Facilities Commission)

For more information, contact Larry LeClair.

Topic
Advocacy
Publish Date
November 5, 2024
Region
Texas
Audience
Agents, Contractors, Owners, Sureties
Resource Type
Anti-Directed Surety Statutes, Resource Map