In our country, the bonds have become an instrument of guarantee whose use is forced for diverse types of procedure, processes and works. They serve to assure the fulfillment of the obligations that are established in a contract and respond in case of a breach.
There are different types of bonds, which, in turn, depend on the type of obligation whose fulfillment is sought to be guaranteed, providing physical and moral persons with the certainty that what is established in a contract will be carried out despite the existence of the risk that the Fiado does not comply.
The different types of bonds that exist in our country are divided into 5 large branches, and are:
- Branch I ( Fidelity Bonds ): Protects the assets of the companies, guaranteeing the repair of the damage that may be caused by an employee of the organization when committing a patrimonial crime against the beneficiary’s assets or for which the latter is legally responsible. This type of bond covers: Theft, fraud and abuse of trust.
- Branch II ( Judicial Bonds ): They guarantee the fulfillment of obligations and responsibilities resulting from a judicial process, whether criminal or non-criminal. In the case of penalties, the freedom of the people who are subject to a criminal process is guaranteed, in order to avoid that the defendant placed on conditional freedom evades the action of justice. On the other hand, non-criminal, ensure compliance with the obligations resulting from any civil controversy where there have been damages to the nation or in issues of protection and labor trial.
- Ramo III ( Administrative Bonds ): Its objective is to guarantee compliance with the obligations derived from a contract, purchase order or lease, which may be: Contest, Advance, Good Quality and Hidden Defects.
- Branch IV ( Credit Guarantees): They serve to guarantee the payment of credit obligations authorized by law.
- Branch V ( Escrow of Trust ): Process by means of which, a person called “trustor”, transfers some good to another person, called “fiduciary”.
The bonds, play a very important role in the day to day of people and companies, because they help to ensure that the obligations and processes are carried out in a timely manner, as previously established in the contract.
Are you interested in taking out a Security Deposit or would you like to know more about the different types of Security used in our country? Get in touch with us, we will gladly support you!