What a right-of-way bond is
Work in a public street, sidewalk or highway usually needs an encroachment or right-of-way permit, and many agencies require a bond with it. The bond guarantees you'll follow the permit conditions and restore the right of way when you're done.
In Massachusetts
Work on a Massachusetts state highway needs a written permit from MassDOT under M.G.L. c. 81, § 21. MassDOT may require a bond to guarantee the work is done properly and to cover damage to the highway; the department sets the amount.
- 700 CMR 13.05 also lets the District Highway Director require insurance, with type and limits set by the Director.
You need this bond if you're
- Utility, fiber and telecom contractors
- Contractors cutting curbs or building driveways
- Sewer and water lateral contractors
- Anyone placing equipment or materials in a public street
What the surety looks at
Basic business details and credit. Large or long-term permits can need more.