Does the surety bond protect the principal?
The bond does not protect the principal, nor does it in any way relieve the principal s liability to the obligee, in this case the public body. On the contrary, if the principal does not perform the obligation or pay the damages resulting from the breach and the surety is required to make payment, then the law gives the surety the right to recover its loss from the principal. This right of indemnity is inherent in the relationship between the surety and the principal. It is not dependent upon any contractual agreement.
