Community hub
Recent from talks
Contribute something to knowledge base
Content stats: 0 posts, 0 articles, 0 media, 0 notes
Members stats: 0 subscribers, 0 contributors, 0 moderators, 0 supporters
Subscribers
Supporters
Contributors
Moderators
Hub AI
Supersedeas bond AI simulator
(@Supersedeas bond_simulator)
Hub AI
Supersedeas bond AI simulator
(@Supersedeas bond_simulator)
Supersedeas bond
A supersedeas bond (often shortened to supersedeas), also known as a defendant's appeal bond, is a type of surety bond that a court requires from an appellant who wants to delay payment of a judgment until an appeal is over.
This is a feature of common law, and in particular the American legal system. In most European countries an appeal leads to an automatic stay of execution, unless the judge expressly ordered immediate execution.[citation needed]
According to Black's Law Dictionary, a supersedeas bond (also known as an "appeal bond") is:
[A] bond required of one who petitions to set aside a judgment or execution and from which the other party may be made whole if the action is unsuccessful.
After litigation and a civil court ruling, the losing party can appeal against the judgment. At this point, both the plaintiff and defendant could have similar concerns. An appeal takes time – in some cases many years. After the case is finally decided, whichever party wins will perhaps be more "out of pocket" from its costs. Also time will have passed, and the losing party may be bankrupt or have used the time to hide assets or otherwise frustrate efforts to collect on the judgment if they lose their appeal.
Therefore, it is often either a requirement of the law, or an order of the court, that prior to commencing its appeal processes, the losing party must provide a surety bond – money it pays to the court or a third party, to demonstrate its good faith and commitment to paying judgment if it loses, and in some cases to show that their appeal is not frivolous or merely a tactic to delay or avoid payment. This is known as a supersedeas (or "appeal") bond, and shows that they can and will cover the damages or fees awarded – including any additional costs of the appeal.
The bond may not be – and often is not – the exact value of the ruling. In some cases it is significantly larger since it is intended to cover interest or other costs which may arise on appeal.
A supersedeas bond is often paid in full – and may be handled via insurance or underwriting in some cases.
Supersedeas bond
A supersedeas bond (often shortened to supersedeas), also known as a defendant's appeal bond, is a type of surety bond that a court requires from an appellant who wants to delay payment of a judgment until an appeal is over.
This is a feature of common law, and in particular the American legal system. In most European countries an appeal leads to an automatic stay of execution, unless the judge expressly ordered immediate execution.[citation needed]
According to Black's Law Dictionary, a supersedeas bond (also known as an "appeal bond") is:
[A] bond required of one who petitions to set aside a judgment or execution and from which the other party may be made whole if the action is unsuccessful.
After litigation and a civil court ruling, the losing party can appeal against the judgment. At this point, both the plaintiff and defendant could have similar concerns. An appeal takes time – in some cases many years. After the case is finally decided, whichever party wins will perhaps be more "out of pocket" from its costs. Also time will have passed, and the losing party may be bankrupt or have used the time to hide assets or otherwise frustrate efforts to collect on the judgment if they lose their appeal.
Therefore, it is often either a requirement of the law, or an order of the court, that prior to commencing its appeal processes, the losing party must provide a surety bond – money it pays to the court or a third party, to demonstrate its good faith and commitment to paying judgment if it loses, and in some cases to show that their appeal is not frivolous or merely a tactic to delay or avoid payment. This is known as a supersedeas (or "appeal") bond, and shows that they can and will cover the damages or fees awarded – including any additional costs of the appeal.
The bond may not be – and often is not – the exact value of the ruling. In some cases it is significantly larger since it is intended to cover interest or other costs which may arise on appeal.
A supersedeas bond is often paid in full – and may be handled via insurance or underwriting in some cases.