Performance_Bond_(Single_Purchase).pdf

Purchase Name ______________ PERFORMANCE BOND Contract No. _______________ Page 1

Performance Bond

The City of Napa (“City”) and __________________________ (“Supplier”) have entered into a contract for Supplier to provide the City with __________________________as further specified (collectively, the “Goods”). The Contract is incorporated by reference into this Performance Bond (“Bond”).

1. General. Under this Bond, Supplier as principal and ___________________________, its surety

(“Surety”), are bound to City as obligee for an amount not less than the Contract Price of $__________________ to ensure Supplier’s faithful performance of its obligations under the Contract, including, but not limited to, providing the Goods to City. This Bond is binding on the respective successors, assigns, owners, heirs, or executors of Surety and Supplier.

2. Surety’s Obligations. Surety’s obligations are co-extensive with Supplier’s obligations under the

Contract. If Supplier fully performs its obligations under the Contract, including its warranty obligations under the Contract, Surety’s obligations under this Bond will become null and void.

Otherwise, Surety’s obligations will remain in full force and effect.

3. Waiver. Surety waives any requirement to be notified of and further consents to any alterations to the Contract made under the applicable provisions of the Contract Documents. Surety waives the provisions of Civil Code §§ 2819 and 2845.

4. Application of Contract Balance. Upon making a demand on this Bond prior to acceptance of the

Goods, City will make the Contract Balance available to Surety to provide the Goods to City, as specified. For purposes of this provision, the Contract Balance is defined as the total amount payable by City to Supplier as the Contract Price minus amounts already paid to Supplier, and minus any liquidated damages, credits, or back charges to which City is entitled under the terms of the Contract.

5. Supplier Default. Upon written notification from City that Supplier is in default under the Contract, time being of the essence, Surety must act, within 15 calendar days of receipt of the notice, to remedy the default.

6. Surety Default. If Surety defaults on its obligations under the Bond, City will be entitled to recover all costs it incurs due to Surety’s default, including legal, design professional, or delay costs.

7. Notice. Any notice to Surety may be given in the manner specified in the Contract and sent to

Surety as follows:

Attn: ______________________________________________________ Address: __________________________________________________ City/State/Zip: ______________________________________________ Phone: ____________________________________________________ Fax: ______________________________________________________ Email: ____________________________________________________

8. Law and Venue. This Bond will be governed by California law, and venue for any dispute pursuant to this Bond will be in the Napa County Superior Court, and no other place. Surety will be responsible for City’s attorneys’ fees and costs in any action to enforce the provisions of this Bond.

[Signature page to follow.]

Purchase Name ______________ PERFORMANCE BOND Contract No. _______________ Page 2

9. Effective Date; Execution. This Bond is entered into and effective on ____________________, 20___.

SURETY:

Business Name s/__________________________________ ______________________________ Date

Name, Title

(Attach Acknowledgment with Notary Seal and Power of Attorney)

SUPPLIER:

Business Name s/__________________________________ ______________________________ Date

Name, Title

END OF PERFORMANCE BOND

Performance Bond