Appeal Bond


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Appeal Bond

In an appeal, a bond that guarantees payment of the original judgment. For example, if Joe sues Bob for $1 million and Joe wins, Bob may appeal to a higher court to reverse the ruling. However, the higher court may require Bob to post an appeal bond of $1 million plus the cost of the appeal just in case he loses the appeal as well. This assures Joe will be paid (assuming he also wins the appeal) and discourages frivolous appeals.
References in periodicals archive ?
On March 18, the United States Bankruptcy Court for the Southern District of New York ruled that BASF could not force Lyondell to prosecute the appeal at this time, but that BASF's $200 million appeal bond securing the judgment remains in place.
Bankruptcy Court lifted the stay and allowed direct negotiations to occur with appeal bond issuer, Safeco Insurance Company.
When he decided to reduce the bond, he agreed Philip Morris should pay an initial $6 billion on the appeal bond, an additional $800 million in 2004 and $420 million for each year the appeal takes.
The purpose of an appeal bond is to stay execution of a money judgment.
42) If there is no indication from the record, however, that an appellant would be unable to afford these potential costs at the time of the disposition of the appeal, and if filing the appeal does not prevent further action--for example, the distribution of settlement proceeds because of an objector's filing of an appeal--the appeal bond ordered, if any, will likely not include anticipated attorneys' fees.
Before trying a potentially significant punitive damage claim, steps should also be taken to ensure that an appeal bond would be posted if an adverse verdict were rendered.
Philip Morris contended that the original $12 billion appeal bond could force the company into bankruptcy and jeopardize payments under the MSA.
Limiting the maximum amount for a defendant's appeal bond to $25 million.
Stratagene plans to post an appeal bond, which requires cash to be set aside for the judgment award.
The Appeal Bond Waiver Act would reduce the appeal bond for multimillion- and billion-dollar verdicts against defendants to $1 million, or $100,000 if the defendant is a small business.
If a final judgment remains unpaid for 30 days, the judgment creditor would have a choice of collecting on the appeal bond posted in their case, or having the stay against the appellant lifted.
If filing an appeal bond will be conduct in accordance with the provisions of GEO 34/2006 271 index updated one.