Payment Bond.pdf

This document is Standard Form 25A (Rev. 10/2023), a Payment Bond form required under USC Chapter 31, Subchapter III for federal contracts. The form serves to protect persons supplying labor and material to a federal contractor and is used when a payment bond is required by a contracting officer.

The form establishes a binding obligation between the Principal (contractor), Surety(ies), and the United States Government, whereby the Principal and Surety(ies) guarantee prompt payment to all persons having a direct relationship with the Principal or its subcontractors for labor, material, or both in performing the identified contract and authorized modifications. The bond becomes void only if the Principal makes timely payment to all suppliers and subcontractors. The form accommodates multiple signatories for principals (up to three) and extensive surety participation, including individual sureties (requiring completed Standard Form 28 Affidavits) and corporate sureties that must appear on the Department of Treasury's approved sureties list and operate within specified liability limitations. Corporate sureties must affix corporate seals, while individuals may affix adhesive seals if required by jurisdiction. The form captures essential contract information including contract date, contract number, penal sum amount, surety liability limits, and state of incorporation, with an OMB Control Number 9000-0001 expiring 1/31/2027.