Section 5-569 - Surety - Authority as surety [Amendment subject to abrogation]. - Maryland Statutes

§ 5-569. Surety - Authority as surety [Amendment subject to abrogation].
 

(a)  Authorized.- The Authority may execute and perform a bid bond, performance bond, and payment bond as a surety for the benefit of a principal in connection with a contract financed by the federal government or a state government, a local government, a private entity, or a utility regulated by the Public Service Commission. 

(b)  Limitation.-  

(1) This subsection does not apply if the sources of funding for the bonds are grants. 

(2) The bonds may not exceed $5,000,000 each. 

(c)  Approval required.- Bonds are subject to the approval of the Authority based on the bond worthiness of the principal. 
 

[An. Code 1957, art. 83A, § 5-1035(d); 2008, ch. 306, § 2; ch. 266.]