(a) Receivers who are required by law to give bond as such who have given as security on such bonds one or more guaranty companies, surety companies, fidelity insurance companies, or fidelity and deposit companies, as authorized by law, may include as part of their lawful expenses or costs of administration such reasonable sum or sums paid to the company or companies for the suretyship not exceeding 1 percent per annum on the amount of the bond as the court, judge, or other officer by whom they were appointed allows.
§ 9-8-14.Expenses of giving bond allowable as cost of administration
Chapter 8. Receivers · Last amended 1933 · Last verified July 17, 2026
In one sentenceO.C.G.A. § 9-8-14 lets a Georgia receiver count the reasonable premium paid to a corporate surety for bond — capped at 1 percent per year of the bond amount — as an allowable administration expense that the appointing court or officer approves and credits in the account settlement.
Full Text of § 9-8-14
(b) Any court, judge, or other officer whose duty it is to pass upon the account of any person or corporation required to execute a bond with surety or sureties, whenever the person or corporation has given any such company or companies as security as provided in subsection (a) of this Code section, shall allow in the settlement of the account a reasonable sum for the expenses and premiums incurred in securing the surety, not exceeding the amounts specified in the subsection.
Plain-English Summary
Posting a bond with a corporate surety costs money — the receiver pays the surety company a premium for standing behind the bond. This section makes that premium a legitimate cost of administering the receivership rather than an expense the receiver has to absorb personally, as long as the surety is a guaranty company, surety company, fidelity insurance company, or fidelity and deposit company authorized to do that business.
The allowance isn’t unlimited. The court, judge, or other officer who appointed the receiver caps the reimbursable premium at a reasonable sum, not exceeding 1 percent per year of the bond amount. That ceiling keeps the cost of using a corporate surety proportionate to the size of the bond itself.
The second part of the section extends the same treatment to the account-settlement process generally: whoever reviews the account of a person or corporation that gave a similar corporate surety bond must allow a reasonable sum for the premium in that settlement, subject to the same cap described in the first part.
Frequently Asked Questions
What kind of surety qualifies for the expense allowance under this section?
A guaranty company, surety company, fidelity insurance company, or fidelity and deposit company authorized by law to act as security on the bond.
How much of the bond premium can a receiver include as an administration expense?
A reasonable sum not exceeding 1 percent per annum on the amount of the bond, as allowed by the appointing court, judge, or officer.
Who decides how much of the premium counts as an allowable expense?
The court, judge, or other officer by whom the receiver was appointed.
Does this allowance apply only to receivers?
No. Subsection (b) extends the same treatment to any person or corporation required to give a bond with the same kind of corporate surety, when a court, judge, or officer settles their account.
Is there a cap on the reasonable sum allowed in an account settlement under subsection (b)?
Yes. The allowance may not exceed the amounts specified in subsection (a).
Amendment History
Ga. L. 1903, p. 75, § 1; Civil Code 1910, §§ 4071, 4072; Code 1933, §§ 55-316, 55-317.
Source & verification. Section text and amendment history are
reproduced verbatim from the Official Code of Georgia Annotated, published by the
Official Code of Georgia Annotated, Georgia Code Revision Commission / LexisNexis. Last verified July 17, 2026.
· Official source
Also known as: receiver bond premium cost administration georgiacorporate surety bond expense georgiareimbursement bond premium receiver georgiafidelity surety company bond receiver georgia