Appeal Bonds
What is an Appeal Bond?
Appeal bonds ensure that the court’s original judgment will be paid if an appeal is unsuccessful. The party appealing the court’s ruling is required to purchase this type of bond in an effort to discourage frivolous appeals. If these bonds were not required, abusing the appellate system would be much easier. For example, a party might file for an appeal to stall payment if they cannot afford the court ordered sum.
With the surety bond requirement in place, the ability to save money through an appeal is limited. The person filing for the appeal must acquire a court bond to cover both the cost of the original judgment (if the appeal fails) and the court costs associated with the appeal. Surety bonds are required whether a case’s defendant or plaintiff files the appeal.
The bond also protects the interest of the party that the court ruled in favor of during the first proceeding. If the losing party — whether an individual or business — goes bankrupt during the appeals process, the bond ensures that they will still compensate the other party as required.
To review the application requirements, download the following form: