FAR 28.106-1—Bonds and bond-related forms.
Plain-English Summary
FAR 28.106-1 is the government’s form-selection rule for bond-related instruments. It tells contracting officers and contractors which Standard Forms (SFs) and Optional Forms (OFs) must be used when a bid bond, performance bond, payment bond, or individual surety is required, and it also identifies the specific forms for annual bid bonds, annual performance bonds, reinsurance agreements, consents of surety, bonds for other than construction contracts, and release of personal property from escrow. The section matters because bond enforceability, surety acceptance, and administrative processing often depend on using the correct prescribed form and completing it according to the form instructions. It also makes clear that these forms are generally mandatory, except in foreign countries, which means agencies cannot freely substitute their own paperwork when the FAR prescribes a form. In practice, this section is a cross-reference hub: it does not set the substantive bonding requirements itself, but it directs users to the FAR provisions that govern when each form is required and how it is used. For contractors, the practical significance is that a wrong form, missing continuation sheet, or incorrect surety consent can delay award or invalidate bond acceptance. For contracting officers, it is a compliance checkpoint to ensure the solicitation and award package use the correct bond documents for the type of contract and security required.
Key Rules
Use prescribed forms
When a bid bond, performance bond, payment bond, or individual surety is required, the listed SFs and OFs must be used, except in foreign countries. This means agencies generally must use the FAR-prescribed form rather than a locally created substitute.
Follow form instructions
The bond forms must be used as directed in the instruction portion of each form. The form itself controls how it is completed and submitted, so users must follow the specific instructions on the applicable SF or OF.
Bid bond form set
SF 24 is the bid bond form, and SF 25B is the continuation sheet for SF 24, SF 25, and SF 25A. These forms support bid security and related bond documentation.
Performance and payment bonds
SF 25 is the performance bond and SF 25A is the payment bond. SF 1416 and SF 1418 are the corresponding forms for other than construction contracts, and SF 1415 may be used for consent of surety and increase of penalty.
Individual surety documentation
SF 28 is the Affidavit of Individual Surety, which is used when an individual surety is permitted. This form supports the government’s review of the surety’s qualifications and pledged assets.
Annual and reinsurance forms
SF 34 and SF 35 cover annual bid and annual performance bonds, while SF 273, SF 274, and SF 275 are reinsurance agreements used in connection with bonds statute performance and payment bonds. These forms are used in more specialized bonding arrangements.
Consent and escrow forms
SF 1414 is the Consent of Surety, and OF 91 is the Release of Personal Property from Escrow. These forms address surety consent issues and the release of pledged personal property when escrow arrangements are involved.
Responsibilities
Contracting Officer
Select and require the correct FAR-prescribed bond form for the acquisition, ensure the solicitation and award documents reference the proper form, and verify that any required consent, continuation sheet, or related bond instrument is properly executed before accepting the bond.
Contractor
Submit the required bond on the correct SF or OF, complete it in accordance with the form instructions, and provide any related continuation sheets, surety consents, or reinsurance documents needed for acceptance.
Surety
Execute the applicable bond or consent form correctly, ensure the bond amount and terms are properly stated, and provide any required consent of surety or increase of penalty documentation when applicable.
Individual Surety
Complete SF 28 accurately and provide the information needed for the government to evaluate the surety’s affidavit and pledged assets.
Agency/Legal or Procurement Support Staff
Support the contracting officer by confirming the correct form set is used, checking for consistency with the applicable FAR subpart, and ensuring foreign-country exceptions or special bond arrangements are handled properly.
Practical Implications
Using the wrong form can delay award or cause the government to reject the bond package, even if the underlying security amount is otherwise adequate.
Contractors should check whether the solicitation calls for a continuation sheet, consent of surety, or a special form for non-construction work; missing attachments are a common compliance problem.
This section is a cross-reference, so users must read it together with the cited FAR provisions to know when each form applies and what substantive requirements govern it.
The foreign-country exception means agencies may need different procedures outside the United States, so contracting officers should not assume the listed forms are always mandatory in overseas acquisitions.
For surety-related submissions, accuracy matters: mismatched names, incorrect penal sums, or incomplete affidavits can create enforceability issues or require resubmission.
Official Regulatory Text
The following Standard Forms (SF’s) and Optional Forms (OF’s), shall be used, except in foreign countries, when a bid bond, performance or payment bond, or an individual surety is required. The bond forms shall be used as indicated in the instruction portion of each form: (a) SF 24 , Bid Bond (see 28.101 ). (b) SF 25 , Performance Bond (see 28.102-1 and 28.106-3 (b)). (c) SF 25A , Payment Bond (see 28.102-1 and 28.106-3 (b)). (d) SF 25B , Continuation Sheet (for SF’s 24 , 25 , and 25A ). (e) SF 28 , Affidavit of Individual Surety (see 28.203 ). (f) SF 34 , Annual Bid Bond (see 28.001 ). (g) SF 35 , Annual Performance Bond (see 28.104 ). (h) SF 273 , Reinsurance Agreement for a Bonds Statute Performance Bond (see 28.202 (a)(4)). (i) SF 274 , Reinsurance Agreement for a Bonds Statute Payment Bond (see 28.202 (a)(4)). (j) SF 275 , Reinsurance Agreement in Favor of the United States (see 28.202 (a)(4)). (k) SF 1414 , Consent of Surety (see 28.106-5 ). (l) SF 1415 , Consent of Surety and Increase of Penalty (see 28.106-3 ). (m) SF 1416 , Payment Bond for Other Than Construction Contracts (see 28.103-3 and 28.106-3 (b)). (n) SF 1418 , Performance Bond for Other Than Construction Contracts (see 28.103-2 and 28.106-3 (b)). (o) OF 91 , Release of Personal Property from Escrow (see 28.203-3 ).