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BP 40 Section 6

BP 40 Section 6

Performance Bonds wad Deposits.

Section 6

SEC. 6. Performance Bonds wad Deposits.—Performance bonds and deposits filed or posted by private persons or entities with offices or agencies of the government shall be deposited with authorized government depository banks as trust liabilities of the office or agency concerned, withdrawable upon the joint signatures of the authorized representatives of the agency and the Commission on Audit. Upon faithful performance of the undertaking or termination of the obligation for which the bond or deposit was required, any amount due shall be returned to the. filing party and the office or agency concerned is authorized to withdraw said amount without the need for Cash Disbursement Ceiling: Provided, That if the amount is deposited in a savings account, the interest accruing thereto, including any forfeited amount shall be recorded as income of the General Fund. This provision shall apply to all other bonds posted in cash, such as bidder's bond, guaranty bonds, bail bonds, judicial deposits for the benefit of clients, cash under litigation deposited in court, and other refundable deposits and judicial bonds, and all bonds and deposits required by law, rules or regulations to be posted to insure the faithful performance of an activity or undertaking. Savings

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Other provisions in BP 40

Compiled from an official source version. Later amendments or repeals may not be reflected; the official text prevails. · Read the official text ↗ · Data as of July 4, 2026

CitationBP 40 Section 6 (LawPlayer, data as of July 4, 2026)

Source: Supreme Court E-Library, Republic of the Philippines. Philippine laws are public documents (works of the government).

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