Glossary term

Consent of surety

Definition

A consent of surety is a surety company's written commitment to provide the required performance and payment bonds for a project if the bidder is awarded the contract. It tells the owner that a bondable, financially-backed contractor stands behind the bid.

Why tenders ask for it

Owners want assurance that a low bidder can actually be bonded before they award. The consent of surety — sometimes paired with an agreement to bond — is that assurance in writing, issued by the surety on the bid date. It is frequently a mandatory submission item, which means leaving it out, or submitting an expired or unsigned version, can disqualify an otherwise winning bid.

How it differs from a bid bond

A bid bond guarantees you will enter into the contract if selected and covers the owner's loss if you walk away. A consent of surety looks past that to the project itself — it confirms the surety will issue the performance and payment bonds that secure your performance once the work begins. Many Canadian tenders require both, and treat each as a separate compliance item.

Where it fits in your submission

Consent of surety is a classic admissibility trap: a document controlled by a third party (your surety), on a deadline you do not fully control. Request it early, confirm the exact form and signatures the solicitation demands, and check it against the compliance matrix before close — not at 11pm. This is precisely the kind of requirement Bid Compliance exists to catch.

Related

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