Sureties

Sureties are individuals or entities that take on the responsibility of guaranteeing someone else's obligations, typically a debt or contractual commitment. If the primary party fails to meet their obligations, the surety agrees to fulfill them, ensuring the other party is compensated. This arrangement is commonly used in loans, construction projects, and court bonds. By providing this guarantee, sureties offer assurance to creditors or project owners that their interests will be protected, reducing the risk involved in the transaction. In essence, a surety acts as a safety net in financial or legal agreements.