Bảo hiểm & Quyền cầm giữCâu 1547 / 1605
Why might an owner prefer that the general contractor obtain a payment bond rather than rely solely on the contractor to pay subs?
a.If subs are unpaid and record liens, the payment bond surety can satisfy them, helping protect the owner's property from liens
b.It guarantees a completion date
c.It lowers the contract price
d.It eliminates the need for insurance
Giải thích
A payment bond means unpaid subs and suppliers can look to the surety, reducing the chance they will lien the owner's property. It provides the owner financial protection against double-payment exposure from lower-tier lien claims.
Luyện miễn phí toàn bộ 1605 câu hỏi — không cần đăng ký.
Câu hỏi liên quan cùng chủ đề
- California Civil Code §2782 generally makes VOID a construction contract provision that requires one party to indemnify another for the latter's:
- A 'primary and noncontributory' insurance requirement in a subcontract means that when the sub names the GC as additional insured, the sub's policy should:
- On a private project with no notice of completion or cessation recorded and the work simply finished, ALL claimants (direct contractor, subs, and suppliers alike) have how long to record a lien?
- 'Inland marine' insurance for a contractor most commonly covers:
- An equipment rental company rents a crane to a subcontractor on a private project. To preserve a mechanics lien for unpaid rental charges, the rental company should:
- The primary function of a 'certificate of insurance' in the contracting process is to allow one party to:
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Người kiểm duyệt Abraham Chen — Licensed California General Contractor (CSLB License #1101856 — kiểm tra)