BOND NO. ____________

UNITED STATES DEPARTMENT OF AGRICULTURE

PERISHABLE AGRICULTURAL COMMODITIES ACT, 1930, as amended

(7 U.S.C. 499a et seq.)

LICENSE APPLICANT BOND UNDER SECTION 4(e)

KNOW ALL MEN BY THESE PRESENTS, that (I), (we), ________________, desiring to 

engage in the business of handling perishable agricultural commodities in interstate or foreign 

commerce at ___________________, State of _____________, as Principal, and ____________, 

(name of surety), duly incorporated under the laws of the State of ______________, of the 

United States of America and having its head office in the City of _______________, State of 

_______________, as surety, are held and firmly bound unto the United States of America, the 

Secretary of Agriculture of the United States, and every creditor of said Principal to whom a 

reparation order is issued under the Perishable Agricultural Commodities Act, 1930, as amended, 

against said Principal in favor of said creditor(s), in the penal sum of _______________ Dollars 

($_______________ ), for the payment of which, well and truly to be made, we bind ourselves 

and our heirs, executors, administrators, successors, and assigns, jointly and severally, firmly by 

these presents.

The conditions of this obligation are such that,

WHEREAS, the above bound Principal has applied to the Secretary of Agriculture for a license 

under the Perishable Agricultural Commodities Act, 1930, as amended and the regulations 

promulgated thereunder; and 

WHEREAS, the Principal has agreed, and does hereby agree, as a condition to the granting of 

said license, to comply with and abide by the terms of the Perishable Agricultural Commodities 

Act and the regulations promulgated thereunder, and that said Principal will pay all reparation 

orders which may be issued against said Principal in connection with transactions occurring 

within three (3) years following the date of this instrument, subject to his right of appeal under 

section 7(c) of said Act;

NOW, THEREFORE, if the said license is granted and said principal shall faithfully perform all 

of his obligations under the Perishable Agricultural Commodities Act and the regulations 

thereunder, then this obligation shall be null and void and of no effect, otherwise to be and 

remain in full force and virtue.

Suit on this bond may be maintained in any Court of competent jurisdiction by the United States 

of America, the Secretary of Agriculture of the United States, or any creditor of said Principal in 

favor of said creditor of said Principal to whom a reparation order is issued under said Act 

against said Principal in connection with transactions occurring within three (3) years following 

the issuance of the license, subject to his right of appeal under section 7(c) of said Act.
It is expressly understood and agreed that the liability of the surety under this bond shall not 

exceed in the aggregate the sum of _______________ Dollars ($_______________), and if two 

or more such reparation orders exceed the sum, such sum shall be prorated among such 

reparation award holders.

This bond is not subject to cancellation without the expressed approval of the Secretary of 

Agriculture.

IN WITNESS WHEREOF, the said principal and surety have executed this instrument on the 

_____ day of __________, 20__, and have caused their respective seals to be hereunto affixed.

__________________________________

Principal Firm 

(SEAL) BY 

__________________________________

Signature

__________________________________ 

Print Name

Witness to signature and seal of principal: 

 __________________________________

_________________________________ Title

Signature 

_________________________________ ___________________________________

Name of Witness Firms Address 

___________________________________

Name of Surety Firm

BY

(SEAL)

 

_________________________________

Signature

___________________________________

 State Resident Agent Signature

_________________________________ 

Name of Witness 

____________________________________

Address of Surety Company