• May 1, 2020

Rule 62 and How it Affects Federal Supersedeas Bonds

Rule 62 and How it Affects Federal Supersedeas Bonds

Rule 62 and How it Affects Federal Supersedeas Bonds 1024 768 Patrick J. Thomas Agency

You have 30 days to obtain a supersedeas bond. 

This is not an obscure rule by any Minnesota surety or agency, but a federal rule dealing with stays of judgment. This is according to Rule 62 of the Federal Rules of Civil Procedure. 

What is Federal Rule 62?

Federal Rule 62 states (a) Automatic Stay. Except as provided in Rule 62(c) and (d), execution on a judgment and proceedings to enforce it are stayed for 30 days after its entry, unless the court orders otherwise. 

This rule applies when a party applies for a stay of judgement. When a stay of judgment is entered to a court, the party is generally required to obtain a surety bond. Once that bond is accepted by the court, the stay can go into effect and will remain in effect for the duration of time laid out in the bond. Once the judgment is entered into the court, the opposing party has 30 days to obtain a supersedeas bond. 

Obtaining a Supersedeas Bond

In order to obtain a supersedeas bond, a party must go through the underwriting process of the providing surety. The underwriters will examine the party’s financial statements and the case in order to underwrite the bond. Depending on the underwriting, the sureties can require collateral. 

Because of Rule 62, the timing of obtaining supersedeas bonds is crucial to the success of an appeal. Attorneys and their clients must move quickly to obtain these bonds to stay the action or collection and bring forward their appeal. 

Before applying for a supersedeas bond, make sure you have all the information pertaining to your case as well as financial records for your clients. Providing everything required by underwriters upfront will expedite the process of obtaining a bond and reduce the chances of having it be delayed by the underwriting surety. 

Work with a Reliable Agency

To further simplify the process, you can choose to work with a reliable and well-connected surety bond agency. At The Patrick J. Thomas Agency, we have decades of experience working with federal and state cases to help attorneys obtain supersedeas bonds that are integral to their appeal. 

 

Disclaimer: this is for informational purposes only and is not intended to be legal advice. If you need legal counsel, please contact an attorney directly.

 

Need a supersedeas bond for your case? Contact The Patrick J. Thomas Agency today.