A Lis Pendens Surety Bond is a court surety bond required by courts in certain jurisdictions. The Lis Pendens is a written notice that a lawsuit has been filed which concerns the title to real property or some interest in that real property; the lawsuit must involve the property as well. The notice is given to the defendant who owns real estate that there is a claim on the property. The recording of the writ also informs the general public, particularly anyone interested in buying or financing the property, that there is this potential claim against it.
The Lis Pendens Bond, also known as a Release of Lis Pendens Bond, is recourse for a defendant so they can go ahead and sell or finance the property while the lawsuit is being settled is in spite of the plaintiff’s Lis Pendens. Courts require surety bonds to guarantee the plaintiff will be satisfied if the original Lis Pendens is upheld.