Court / Judicial
Lis Pendens Bond
A court bond tied to a recorded notice of a lawsuit (lis pendens) that clouds title to real property.
- Required by
- State trial courts
- Bond amount
- Set by whoever requires the bond. We confirm it.
What this bond guarantees
In California, a court can remove the lis pendens if the property owner posts an undertaking that pays the claimant all damages caused by the removal. In other states, a court may require the party who recorded the lis pendens to post a bond that pays the owner's damages if the notice was unjustified. A claim follows the court's final ruling.
Who needs it
- Property owners who want a lis pendens removed so they can sell or refinance
- Plaintiffs ordered to post a bond to keep a lis pendens in place
- Real estate attorneys
What the underwriter looks at
- Value of the property and the claim
- Applicant's financial strength
- Collateral
Requirements vary by state and by who asks for the bond. Send us the request you received and we will confirm exactly what it calls for.
Common questions
Who posts the bond, the owner or the plaintiff?
It depends on the state and the order. In California, the owner posts it to have the notice expunged. Elsewhere, a court may order the plaintiff to post one to keep the notice in place.
How does the court set the amount?
The judge sets it based on the damages the other side could suffer. We need a copy of the order to quote.
Will a bond always clear the lis pendens?
No. The court decides whether money can adequately protect the claimant. California, for example, treats a single-family home the claimant plans to live in differently.