Minnesota
For Minnesota, payment bond threshold is Projects under $100,000; bond amount is Performance and payment bonds each to be not less than the contract price; claim deadline is begun within one year after the date of the last work by the claimant on the public project as stated in its notice of claim; preliminary notice required is within 120 days after completion, delivery or provision by the person of its last item of work, the person serves a written notice of claim personally or by certified mail upon the surety that issued the bond and the contractor; statutory citation is Minnesota Statutes, Chapter 574, §§ 574.26 to 574.32, verified against its source on 2026-08-17.
- State
- Minnesota our reading
- Payment bond threshold
- Projects under $100,000 verified
- Bond amount
- Performance and payment bonds each to be not less than the contract price verified
- Claim deadline
- begun within one year after the date of the last work by the claimant on the public project as stated in its notice of claim verified
- Preliminary notice required
- within 120 days after completion, delivery or provision by the person of its last item of work, the person serves a written notice of claim personally or by certified mail upon the surety that issued the bond and the contractor verified
- Statutory citation
- Minnesota Statutes, Chapter 574, §§ 574.26 to 574.32 verified
Values marked our reading are our classification of what the source says — the source does not print them in those words. The quote below is the evidence for each one; judge it yourself.
What the source says
MINNESOTA Amount of Bond: Performance and payment bonds each to be not less than the contract price. The penalty of each bond must not be less than the contract price, and if after the giving of the bond the contract price is increased, for any reason, the public body may require additional bonds, the penalties of which shall be not less than the amount of the increase, and if the additional bonds are not furnished within 10 days after demand, the work on the contract shall cease until the additional bonds are furnished. In contracts made by the Commissioner of Administration or the Department of Transportation of the state, the Commissioner of Administration or the Commissioner of Transportation, respectively, may fix the amount of the bond penalty, but at not less than three-quarters of the contract price. Labor and Material Covered: Claims of all persons doing work or furnishing skill, tools, machinery or materials, or insurance premiums, equipment or supplies, or sales or wage tax, under or for the purpose of such contract. Notice Required: In the event of a claim on a payment bond by a person furnishing labor and materials, no action shall be maintained unless, within 120 days after completion, delivery or provision by the person of its last item of work, the person serves a written notice of claim personally or by certified mail upon the surety that issued the bond and the contractor on whose behalf the bond was issued at their addresses as specified in the bond. The notice must specify the nature and amount of the claim and the date the claimant furnished its last item of labor or materials for the public work. Time for Suit: No action shall be maintained unless begun within one year after the date of the last work by the claimant on the public project as stated in its notice of claim. Contracts Excluded: Projects under $100,000, Natural Resource Development projects, and projects of the Department of Transportation costing less than $100,000, or involving the permanent or semi-permanent installation of heavy machinery, fixtures, or other capital equipment to be used primarily for maintenance or repair. Penalty for Failure to Take Bond: If the state or other public body fails to get and approve a valid payment bond or securities in place of a payment bond, the public body for which work is done under the contract is liable to all persons furnishing labor and materials under or to perform the contract for any loss resulting to them from the failure. Cases of Note: In Safety Signs, LLC v. Niles-Wiese Construction Co., 840 N.W.2d 34, the Minnesota Supreme Court decreed that a bond claimant must strictly comply with the statutory notice requirements listed in Section 574.31, subd. 2(a) (the claimant must provide notice to the surety and contractor at the address listed on the bond). In doing so, the court rejected arguments that substantial compliance with the notice requirement is sufficient. The Safety Signs opinion confirms that a party seeking to make a bond claim must take care to strictly comply with the mandated service requirements or risk the loss of its claim. Statutory Citation: Minnesota Statutes, Chapter 574, §§ 574.26 to 574.32.
— fullertonlaw.com, retrieved 2026-08-17
Source
- fullertonlaw.comhttps://fullertonlaw.com/50-state-summary-payment-bond-law