Washington Contractor License Bond

Washington Contractor License Bond

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What is an Washington Contractor License Bond? 

Washington Contractor License Bond's are required by Washington's Board of Contractors to obtain your Washington Contractor License Bond. The Washington Contractor License Bond amount is set at $5,000. 


The State requires a Contractor License bond for :  

a $5,000-$6,000 surety bond


Different parts of a bond:

 There are 3 parts to a Contractor License surety bond. The Principal "YOU", The Surety Company, and the Obligee. The Principal is the business or individual applying for the Contractor License Surety Bond. The Obligee is the individual or entity requiring the Surety Bond and the Surety Company is the company who provides the Surety Bond coverage.

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Washington Contractor License Bond Information and Requirements:

If the Principal, in compliance with the provisions of chapter 18.27 RCW, pays all (1) wages and benefits to

persons furnishing labor to the Principal, (2) amounts that may be adjudged against the Principal by reason of

breach of contract including negligent or improper work in the conduct of the contracting business, (3) persons

who furnish labor and materials or rent or supply equipment to the Principal, and (4) taxes and contributions

due to the State of Washington, the obligation of the Principal and the Surety shall be null and void. If the

Principal does not pay the above claims, the bond shall remain in full force and effect. In no case shall the

Surety be liable for any claim not included in RCW 18.27.040.

Any person that has a claim against the Principal, arising from the failure of the Principal to pay and of the four

items referred to in paragraph 3, may bring suit upon the bond in the superior court of the county in which the

work was done, or of any county in which the court has jurisdiction over the Principal. The suit must be

brought within the time and the manner required by RCW 18.27.040.

The aggregate liability of the Surety under this bond for claims against this bond shall not exceed the penal

sum of this bond. No extension by continuation certificate, reinstatement, reissue, or renewal of this bond shall

increase the liability of the Surety. If the claims against the bond that are pending at any one time exceed the

remainder of the aggregate liability minus the amounts previously paid by the Surety because of other claims

against this bond, the claims shall be satisfied in accordance with the provisions of RCW 18.27.040.

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