$5,000 Tennessee Certified Public Weigher Bond

Businesses are required to file a $5,000.00 bond with the State of Tennessee Department of Agriculture (the "Obligee") to activate their license. The bond protects the Obligee by transferring to a surety bond company the cost of ensuring the public is compensated for damages resulting from a licensed business breaking licensing laws.

Certified Public Weigher Bond

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How much does the Tennessee Certified Public Weigher bond cost?

Tennessee Certified Public Weigher bonds typically cost $100.

Is a Credit Check Required for Tennessee Certified Public Weigher Bonds?

Credit checks are not required for the Tennessee Certified Public Weigher Bond.

Why is the Tennessee Certified Public Weigher bond required?

Businesses are required to purchase and file a $5,000 bond with the State of Tennessee Department of Agriculture to activate their license. The bond protects the Obligee by transferring to a surety bond company the cost of ensuring the public is compensated for damages resulting from the failure of a licensed business complying with the provisions of licensing laws.

How does the Tennessee Certified Public Weigher bond work?

Tennessee Certified Public Weigher bonds must be issued by an insurance carrier admitted by the Tennessee Department of Insurance. The insurance company issuing any surety bond, such as the Tennessee Certified Public Weigher bond, will also be referred to as the "surety company" or the "bond company". The business is referred to as the Principal, the surety bond company as the Obligor and the State of Tennessee Department of Agriculture as the Obligee.

The surety company provides the Obligee a guarantee (the surety bond) that the customers, vendors and employees of a licensed business will receive payment for financial damages due to a violation of licensing law up the bond amount stated on the bond form ("penal sum"). The bond company also directly receives claims from the public and determines the validity of claims. Ultimately, the licensed business owners are responsible for their actions and required by law to reimburse the surety company for any payments made under the bond or face indefinite license suspension.