Retention bond: Difference between revisions
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imported>Doug Williamson (Add Retention money guarantee.) |
imported>Doug Williamson (Add link.) |
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*[[Contract]] | *[[Contract]] | ||
*[[Guarantee]] | *[[Guarantee]] | ||
*[[Performance bond]] | * [[Performance bond]] | ||
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*[[Retention]] | *[[Retention]] | ||
*[[Retention of title]] | *[[Retention of title]] | ||
Latest revision as of 19:27, 4 March 2023
Trade finance - major project contracting.
Retention bonds are a type of performance bond, used as an alternative to retention monies.
When using a retention bond, the client agrees to pay the amounts which would otherwise have been held as retention, and instead a bond is provided to secure the amount that would have been retained.
The value of the bond will usually reduce after completion has been certified.
Also known as a retention money guarantee, or a retention guarantee.
