Contents
- (a) If a person is required under a law of the United States t…1 change
- (b)
- (c) Using an eligible obligation instead of a surety bond for…
- (d) When security is no longer required, an eligible obligatio…3 changes
- (e) This section does not affect the—1 change
- (f) To avoid frequent substitution of eligible obligations, th…1 change
(d)When security is no longer required, an eligible obligation given instead of a surety bond shall be returned to the person giving the obligation. If a person, supplying labor or material to a contractor defaulting under sections 3131 and 3133 of title 40, files with the United States Government the application and affidavit provided under section 3133(a) of title 40, the Government—
(1)may return to the contractor the eligible obligation given as security (or proceeds of the eligible obligation given) under sections 3131 and 3133 of title 40 only after the 90-day period for bringing a civil action under section 3133(b) of title 40; and
(2)if a civil action is brought in the 90-day period, shall hold the eligible obligation or the proceeds subject to the order of the court having jurisdiction of the action.
United States Government work; public domain under 17 U.S.C. § 105.