When a contract bond surety's principal files or is forced into bankruptcy, the surety must operate under influence of the bankruptcy court, which is a forum with its own peculiar rules and procedures. Bankruptcy is intimidating for surety professionals and with good reason: venturing into this area without good preparation can be costly.

The Surety & Bankruptcy helps demystify the process with tools to guide one from pre-bankruptcy planning through to the close. Chapters are organized according to how a bankruptcy normally progresses, from the first days of filing through the Chapter 11 plan confirmation process. The forum and strategies utilized to accomplish a surety's goals are different in the bankruptcy environment. The foundation for understanding how this forum can be utilized to the surety's benefit and best advantage is contained in the pages of this book. Written by surety and bankruptcy professionals, the book includes tips on how to avoid potential issues and leverage the opportunity for negotiated resolution of disputes within the context and confines of bankruptcy. Chapters cover:

• A primer on bankruptcy
• Rights to contract balances
• Use of the debtor's policy
• Post-petition financing and extensions
• Bond cancellation and renewals
• Third-party claims
• Minimization of the impact of the principal's bankruptcy, and more