Waiver of Bond Law and Legal Definition
A bond is an obligation, expressed in writing, to pay a fixed and liquidated sum on the happening or nonoccurence of a specified condition or event. The term "bond" includes investment bonds, penal bonds conditioned on the performance of duties of office, or other obligations undertaken by the principal obligor in the bond or collateral things to be done by the principal obligor; and indemnity and fidelity bonds or undertakings to indemnify the obligee against loss from conduct of the principal. A bond may be an insurance policy required by a court for the benefit of a trust or an estate. This policy provides insurance protection against the possibility of fraud or embezzlement by a trustee or an executor.
The waiver of a bond relieves the obligor of the requirement of posting a bond. A court may waive a bond by order or agreement of the parties. A will maker may request in the will that no bond be required.
The following is an example of one state's law on waiving a bond for a personal representative of an estate:
"Waiver of bond in will
(a) [Statement of waiver in petition] If the will waives bond, the petition for letters must so state.
(Subd (a) amended effective January 1, 2002; previously amended effective January 1, 2001.)
b) [Court's discretion to require bond] The court may require bond if the proposed personal representative resides outside California or for other good cause, even if the will waives bond."