Performance Bond and Lien

[zrh2103]

Does Performance Bond help to protect the owner from lien? My understanding is Performance Bond is a way that a contractor ensures the owner via Surety that if the contractor fails to perform or quit at the no fault of the owner and the Surety will have enough fund to finish the job. I dont think performance bond helps to protect owner from lien.

I understood that Payment Bond does protect owner from lien.

[adventurer4hire]

I am pretty sure you are correct.
https://en.wikipedia.org/wiki/Performance_bond
https://en.wikipedia.org/wiki/Payment_bond

[hnQ_9999]

I think the correct wording would be : "Payment bond can indirectly help Lien(s) being ineffective."
I understand Sub/Sup can file a Lien in cnty. Then insurer comes in to satisfy the Lien.
So technically, there is a Lien on record.

[Coach]

Performance bond does nothing to protect owner from work (and any associated liens) done prior to the bond being triggered. That's what payment bond is for.