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Code · California · Civil Code

§ 8510

110 words·~1 min read·/ca/civil-code/8510

A research copy — for the controlling text, always check the official state or federal source. Not legal advice.

(a)A person may obtain release of funds withheld pursuant to a stop payment notice by giving the person withholding the funds a release bond.
(b)A release bond shall be given by an admitted surety insurer and shall be conditioned for payment of any amount not exceeding the penal obligation of the bond that the claimant recovers on the claim, together with costs of suit awarded in the action. The bond shall be in an amount equal to 125 percent of the amount claimed in the stop payment notice.
(c)On receipt of a release bond, the person withholding funds pursuant to the stop payment notice shall release them.
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