License and permit bonds are an important group of New jersey surety bonds that are required by certain municipal, state, or federal governments in order to receive a permit or license to perform certain businesses activities. In the case of construction contractors, the venue and type of work allowed requires the use of these types of surety bonds. These bonds protect the government branch and its constituents that the construction company will adhere to all legal requirements in the performance of it contract, including all salient regulations, municipal ordinances, state laws and statutes.
There are several types of license and permit bonds. They include contractor’s license bonds, which make sure that a contract adheres to all of the local laws and building codes pertaining to his field. Customs bonds ensure compliance with all material import laws, including payment of duties and taxes. Tax bonds guarantee the proper payment of sales and other taxes. Reclamation and environmental protection bonds pertain to the “greenness” of the project, the ability to comply with all EPA requirements, and fulfill the guidelines for land reclamation and waste recycling. Broker’s bonds include the legalities of the associated land interests including Mortgage, Insurance, and Title Agency bonds.
By purchasing the appropriate New Jersey surety bonds, the government can guarantee and insure compliance to the legalities of government agencies at all the various levels.