BOND


Meaning of BOND in English

n.

In law, a formal written agreement by which a person undertakes to perform a certain act (e.g., appearing in court or fulfilling the obligations of a contract).

Failure to perform the act obligates the person to pay a sum of money or to forfeit money on deposit. A bond is an incentive to fulfill an obligation; it also provides reassurance that compensation is available if the duty is not fulfilled. A surety usually is involved, and the bond makes the surety responsible for the consequences of the obligated person's behaviour. See also bail .

Britannica Concise Encyclopedia.      Краткая энциклопедия Британика.