When a proceeding before a court is on a penal bond, with condition for the payment of money, the jurisdiction shall be determined as if the undertaking to pay such money had been without a penalty. And when jurisdiction depends on the amount of a judgment, if it be on such a bond, the jurisdiction shall be determined by the sum, payment whereof will discharge the judgment.
§ 8.01-4.1.How jurisdiction determined when proceeding is on penal bond.
Chapter 1. General Provisions As to Civil Cases · Last amended 1977 · Last verified July 16, 2026
In one sentenceSection 8.01-4.1 provides that when a proceeding is on a penal bond conditioned to pay money, a court determines jurisdiction as if the undertaking had been written without the penalty, and when jurisdiction turns on a judgment amount involving such a bond, it is measured by the sum whose payment would discharge the judgment.
Full Text of § 8.01-4.1
Plain-English Summary
A penal bond states a penalty sum meant to secure an underlying obligation, which is often smaller than the penalty itself. Section 8.01-4.1 keeps that penalty figure from distorting where a case belongs. When a proceeding is on a penal bond conditioned for the payment of money, the court determines its jurisdiction as though the undertaking to pay had been written without any penalty attached — in other words, based on the real amount owed, not the inflated number stated as the bond’s penalty.
The section applies the same logic when jurisdiction depends on the amount of a judgment involving a penal bond: jurisdiction is determined by the sum whose payment would discharge the judgment, rather than by the bond’s penalty amount. Either way, the rule keeps jurisdictional amount-in-controversy questions tied to what a party owes rather than to the sometimes-arbitrary figure written into a penal bond’s penalty clause.
Frequently Asked Questions
What is a penal bond in this context?
It is a bond that states a penalty sum securing an underlying promise to pay money — the penalty figure is often set higher than the amount owed under the bond’s condition.
Does the penalty amount stated in the bond control which court has jurisdiction?
No. Section 8.01-4.1 says jurisdiction is determined as if the undertaking to pay had been written without any penalty, meaning the real amount owed controls rather than the bond’s stated penalty.
How is jurisdiction measured when it depends on a judgment involving a penal bond?
Section 8.01-4.1 measures it by the sum whose payment would discharge the judgment, not by the bond’s penalty amount.
Why does Virginia treat penal bonds differently for jurisdictional purposes?
Because a penal bond’s stated penalty can be larger than what is owed, Section 8.01-4.1 ties jurisdiction to the underlying obligation so the penalty figure cannot artificially push a case into the wrong court.
Does this section apply outside of penal bond proceedings?
No. By its terms, Section 8.01-4.1 addresses only proceedings on a penal bond with a condition for the payment of money and judgments involving such a bond.
Amendment History
Code 1950, § 8-3; 1977, c. 617.
Source & verification. Section text and amendment history are
reproduced verbatim from the Code of Virginia, published by the
Code of Virginia, Virginia Division of Legislative Automated Systems. Last verified July 16, 2026.
· Official source
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