What a maintenance bond is
A maintenance bond, also called a warranty bond, guarantees your finished work is free of defects in materials and workmanship for a set period, often one or two years. Sometimes it's built into the performance bond; sometimes the owner wants it separately.
In New York
New York State Finance Law § 137 (the Little Miller Act) mandates performance and payment bonds for public works contracts above $100,000 but does not separately require a maintenance or warranty bond by statute. Maintenance bond obligations arise from individual project owners or contracting agencies writing them into contract documents, either as a standalone bond or as a warranty period obligation folded into the performance bond.
- SFL § 137 text covers only a bond 'guaranteeing prompt payment of moneys due to all persons furnishing labor or materials' and a performance bond; a maintenance period is not addressed.
- New York General Business Law Article 36-B provides implied warranties on new-home sales but does not require a maintenance surety bond.
You need this bond if you're
- A contractor finishing public works with a warranty period
- A site contractor handing improvements over to a city or county
- Paving, concrete, roofing and landscaping contractors
- A developer whose subdivision bond is being released
What the surety looks at
Your business, credit and the finished project. Often handled together with the performance bond.