Chapter 574 — Bonds, Requisites and Execution

511.195 This section was renumbered as part of the 1965 Uniform Commercial Code adoption (Laws 1965, chapter 811). It no longer … 574.01 Bonds, Requisites and Execution This section sets the basic rules for bonds and legal promises required by Minnesota law. Any bond, recognizance, or … 574.02 This section was repealed by Laws 1999, chapter 99, section 24. It no longer contains active law. 574.03 Payment of Premium This section explains how the cost of bonds for state officers and employees is handled. The premium for any required … 574.04 Surety Bonds to Federal Government This section allows state institutions to give surety bonds required by the federal government when receiving military … 574.05 Liberty Loan Bonds Security This section allows public contractors to use U.S. liberty or victory loan bonds as security instead of the usual surety … 574.06 Deposit of Securities This section explains how pledged securities (like liberty bonds) are handled when used instead of a traditional … 574.07 Market Value This section sets a minimum value requirement for securities pledged instead of a contractor's bond on a public work … 574.08 Protection of Pledge on Commencing Action This section protects workers and suppliers who want to make a claim against pledged securities when a contractor fails … 574.09 Additional Security This section allows a government body to demand additional security from a contractor if the pledged securities become … 574.10 Notice of Claim This section sets the deadlines for making a claim against pledged securities on a public contract. Anyone with a claim … 574.11 Receivers' Bonds to Run to State When a district court appoints a receiver or trustee in a legal case, any bond they must give runs in favor of the State … 574.12 Modes of Justification This section explains how sureties prove they have enough financial resources to back a bond — a process called … 574.13 State and County Officers; Uniform Bond This section provides a standard form for official bonds required of state and county officers. Any bond that follows … 574.14 Bonds Executed Under Other Provisions This section makes clear that using the standard bond form from section 574.13 creates all the same legal rights and … 574.15 Surety Companies This section allows a licensed surety company to act as the sole surety on a bond instead of requiring individual human … 574.16 Surety, Subrogation When a surety pays a loss caused by a state officer's misconduct, the surety steps into the state's shoes and gets all … 574.17 Sureties for Part of Penalty This section allows multiple sureties to each cover only part of a bond's total amount, rather than each being liable … 574.18 Undertaking in Lieu of Bond This section allows a written undertaking signed by sureties to be used instead of a formal bond in appeals and court … 574.19 Cost of Surety Bonds; Proper Expense Items This section allows fiduciaries like guardians, trustees, executors, and receivers to be reimbursed from the estate or … 574.20 Bonds, by Whom Approved This section specifies who must approve official bonds before they are valid. State officer bonds must be approved as to … 574.205 Bonds; State Officials and Employees Excluded Since July 1, 1971, Minnesota state officials and employees — whether elected or appointed — are not required to give … 574.21 Place of Filing Bonds This section sets out where official bonds must be filed once approved. State officer bonds go to the secretary of … 574.22 Court Proceedings This section establishes the default rule for where bonds given in court cases must be filed. Unless a specific law or … 574.23 Examination of Accounts of Public Officers When a bonded public officer leaves office or files a new bond, the governing body must promptly examine the officer's … 574.24 Official Bonds, Security to Whom; Actions A public officer's official bond protects everyone harmed by the officer's misconduct, not just the government body … 574.25 Leave to Bring Action; Endorsement on Execution Before a private person can sue on a public officer's bond, they must first get court permission by showing a copy of … 574.26 Contractors' Bonds for Public Work This is Minnesota's Public Contractors' Performance and Payment Bond Act. Any contractor doing public work above a … 574.261 Public Work; Security For small state contracts of $5,000 or less, a contractor can substitute certified checks for the usual performance and … 574.262 Small Business This section establishes a state program to help small businesses and disadvantaged-owned businesses get bonding for … 574.263 Natural Resource Development Projects This section sets bonding rules for state contracts involving natural resource development projects, which include … 574.264 Natural Resource Project; Security For natural resource development contracts under $100,000, contractors can substitute alternative forms of security — … 574.27 Bidders to Have Right of Action in Certain Cases This section protects contractors who submit bid deposits on public projects. The government body must return any … 574.28 Approval and Filing of Bond Before starting any public work, the contractor must file both the performance bond and payment bond with the government … 574.29 Failure to Get Payment Bond If a government body fails to require and approve a valid payment bond on a qualifying public project, it becomes … 574.30 Insolvent or Insufficient Sureties If a surety on a public contractor's bond becomes insolvent or otherwise unacceptable, the government body can require … 574.31 Limit of Time to Bring Action This section sets the deadlines for making claims against public contractor bonds. For payment bond claims, claimants … 574.32 Application of Payments When a claimant on a public project payment bond receives a payment and knows (or should know) that it was for work or … 574.33 Actions for Fines, Forfeitures, and Penalties; Collusion This section governs lawsuits to collect fines, forfeitures, and penalties. These cases follow the same civil lawsuit … 574.34 Fines, How Disposed of This section determines where fine and forfeiture money goes after it is collected. Generally, fines and forfeitures go … 574.35 Prosecution for Fines; Court; Commitment Fines and forfeitures imposed for statutory violations can be collected through criminal indictment proceedings in … 574.36 This section is a cross-reference stub pointing to section 511.195. It does not contain independent substantive law. 574.38 Letters of Credit For public work projects under $50,000 with local government bodies, contractors may use an irrevocable bank letter of … 574.39 Surety Bonds; Public Entities Government bodies in Minnesota cannot require contractors to buy their surety bonds from a specific insurance company, …