Maximum Bond Amount definition
Examples of Maximum Bond Amount in a sentence
Surety’s obligation to pay such costs, damages, fees, and expenses shall be in addition to its obligation to pay the Maximum Bond Amount, and shall in no way be interpreted or deemed to be limited by the Maximum Bond Amount.
If Surety and/or Principal in any way dispute the terms of this Bond or the payment of any or all of the Maximum Bond Amount, then, notwithstanding such dispute, Surety shall pay the Maximum Bond Amount without setoff, abatement, reduction or counterclaim of any kind whatsoever, other than a reduction for any amounts already validly paid by Surety to Obligee pursuant to Demand Notices previously honored by Surety.
Subject to Sections 5 and 9 hereof, the total amount of Surety’s obligations under this Bond for payment to the Obligee shall not exceed the Maximum Bond Amount.
Subject to Section 5 hereof, the obligation of the Surety to make payments pursuant to this Bond shall terminate automatically and without further notice or action upon the delivery of any payment to the Obligee pursuant to a Demand Notice which, when aggregated with all prior payments to the Obligee pursuant to a Demand Notice, equals or exceeds the Maximum Bond Amount and, if applicable, any additional amounts due to Obligee in accordance with Section 9 hereof.