Electric Power Board of Chattanooga Utility Bond Form

 

INDEMNITY BOND FOR ELECTRIC SERVICE FURNISHED BY THE ELECTRIC POWER BOARD OF CHATTANOOGA CHATTANOOGA, TENNESSEE

This Indemnity Bond is made and entered into as of the ______ day of ________ by and among ______________________________ , as Principal, ___________________  _________________________, as Surety, and the Electric Power Power Board of Chattanooga, Chattanooga, as Obligee, Principal has applied to Obligee for electric e lectric service. Under the rules and regulations of the Obligee, it is necessary for the Principal to furnish security for the prompt payment of electric bills bill s for electric service furnished and supplied to the Principal by the Obligee: Principal desires to post this bond in lieu of a cash deposit as security for the payment of said electric bills. Surety is a corporation organized and existing under the laws of the state of  _____________________________ and duly authorized to conduct conduct and carry carry on a general surety business in the state of Tennessee. Principal and Surety, by this executing this Indemnity Bond, bind themselves, the mselves, their respective heirs, legal representatives, successors, and assigns, jointly and severally, to Obligee in the amount of ______________________________ dollars ($ __________). If Principal shall perform all of its obligations and promptly pay all bills rendered by the Electric Power Board Of Chattanooga for electric service as provided by this Indemnity Bond, and the rules d regulations of the Electric Power Board Of Chattanooga, then the obligations of Surety hereunder shall be null and void. If and in the event, Obligee shall fail to receive any payment when due from Principal, Surety shall immediately pay to the Obligee, in lawful money of the United States of America, an amount equal to the required payment. Surety agrees to pay all reasonable, out-of-pocket costs, expenses and fees, including all reasonable attorneys' fees, which are incurred by Obligee in enforcing e nforcing or attempting to enforce this Indemnity Bond or protecting the rights of Obligee hereunder following any default on the part of the Principal, whether the agreement shall be enforced by suit or otherwise.

 

 

The parties to this agreement acknowledge and understand that: 1.  Surety reserves the right to cancel this Indemnity Bond by giving thirty (30) days

to the Obligee. 2.  On the effective date of such thirty (30) day cancellation notice, the Surety is discharged d relieved of any liability to Obligee on behalf of Principal. 3.  Upon cancellation of this Indemnity Bond, Principal and Surety will be liable to Obligee for any loss accruing up to the effective date of said thirty (30) day cancellation notice. 4.  This Indemnity Bond shall be effective from and after ____________________ and shall remain in force until cancelled as provided in paragraph 1 above, or until released in writing by the Obligee. IN WITNESS WHEREOF, WHEREOF, Principal and Surety have duly executed or caused to be executed this indemnity Bond as of the date above first written.

 ___________________  _____________ _____________ ___________ ____ WITNESS TO PRINCIPAL

_____________ ____________________ ______________ _________ __ PRINCIPAL

 ____________________  _____________ ______________ _________ __ SURETY  ___________________  _____________ _____________ ______________ ________ _ WITNESS TO SURETY

By:___________ By:_________________ _____________ _________ __ Its: _________________________

Surety's Local Agent's Name:_______________________________________________ Address: __________________________________________________ Telephone: ________________________________________________ BOND NUMBER: ____________________________________________