Recently, we had a request to set a bond amount pursuant to Section 51 of the General Municipal Law and Article 78 of the Civil Practice Law and Rules. This bond was intended to stop the Mayor and members of the Board of Trustees of a town from doing something an individual living in that town deemed to be illegal and improper.
The attorney representing the individual motioned the court to set a bond amount during an ex parte motion, with the intention being to void the decision to grant a motel the rights to expand onto a tract of land owned by the petitioner.
The bond was intended to protect the opposing party from cost in the event that the decision order was granted improperly. The CPLR requires a surety bond/undertaking to be posted protecting the town, the Board of Trustees, and the Mayor in the event that the decision was indeed improper or incorrect.
In this case, a credit check was run on the individual petitioner and the surety required a financial statement. If the bond had been a nominal amount, such as $250, the financial statement may not have been required and the bond may have been issued based on their signature alone.
If you need assistance or have questions, contact us today at 212-227-7277.
Contact us with your questions today.
PEDERSEN & SONS SURETY BOND AGENCY, INC.
15 Maiden Lane Suite #800
New York, NY 10038
Sign up for Our Newsletters