What is an Oregon Sewage Disposal Service Bond?
A Sewage Disposal Service Bond is a type of surety bond required pursuant to Oregon Revised Statutes ("ORS") Chapter 454 and pursuant to rules set forth by the Environmental Quality Commission of the State of Oregon as they relate to standards for on-site sewage disposal. The surety bond is required in a coverage amount of $5,000 or $15,000 for those applying to the Department of Environmental Quality of the State of Oregon for a license to engage in the business of Sewage Disposal Service as defined in Oregon Revised Statutes.
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Why is an Oregon Sewage Disposal Bond Required?
The Sewage Disposal Service Bond ensures faithfully comply with all applicable statutes and rules of the State of Oregon, As provided by ORS 454.705. Anyone injured by failure of the bonded principal to comply with the conditions in performing work has a right of action on this bond in his or her own name in the maximum aggregate limit of $5,000 or $15,000. Any written claim against this surety bond must be made to the bonded principal or the surety company within two years after the sewage disposal services have been performed.
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