A government contract is a contract that a government department concludes with a contractor or company to provide infrastructure, supplies or services. To guarantee the complete and proper execution of a government contract, the contract performer offers a financial guarantee. These guarantees can therefore be concluded to the advantage of every public service.

Guarantees requested for a concession also fall under this category. Often a guarantee is requested for the proper execution of the obligations arising from the agreement by the concessionaire; eg concessions for the NMBS.

 

Bail in money for a government contract

Do I have to pay the CM Deposit Office for placing a bail in cash for a government contract?

No, placing a bail in money is free.

 

Are interest on a bail in money for a government contract reimbursed by the CM Deposit Office?

Are interest on a bail in money for a government contract reimbursed by the CM Deposit Office?

The interest is calculated and paid annually on the due date.

 

To whom do I submit my request for repayment of a bail in money for a government contract?

When all works or deliveries have been made, you request the repayment of the bail from the administration that imposed the bail.

The administration that has issued the bail directly delivers a release letter by e-mail or by post to the CM Deposit Office. This is a written approval stating the registration number of the guarantee and the amount that may be released.

 

Within what period does the CM Deposit repay the bail in money for a government contract?

The CM Deposit Office reimburses the guarantee within five working days of receiving the letter of release from the administration that imposed the guarantee.

 

What amount of the guarantee in cash for a government contract is repaid by the CM Deposit Office?

After receiving the letter of release, the CM Deposit Office will proceed with the repayment:

  • of the entire bail
  • of the partial bail
    • you will be sent a new registration certificate, with a new registration number and indication of the remaining amount

 

Solidary bail for a government contract

How do I obtain a solidarity guarantee for a government contract?

How do I obtain a solidarity guarantee for a government contract?

Contact a financial institution, insurance company or a company recognized by the Minister of Finance to obtain the joint guarantee. One of these institutions, and not the CM Deposit Office, is your point of contact for this guarantee.

The chosen institution draws up your guarantee deed and sends it to the CM Deposit Office. The amount of the bail is determined by the person who has imposed the bail.

 

Where do I check whether my deed of solidarity bail has been registered for a government contract?

Contact the financial institution, insurance company or accredited company that has sent the guarantee deed to the CM Deposit Office. If you have an urgent case, you can only and  exceptionally  your financial institution to the CM Deposit Office asking speedy treatment.

 

Where do I request a copy of the deed of joint bail for a government contract?

Contact the financial institution, insurance entrepreneur or recognized company that has opened the deed to request a copy of the deed.

Also contact the financial institution, insurance entrepreneur or recognized company that has opened the deed if the number of the deed is missing or incomplete.

 

What does it cost to set up a joint bail for a government contract?

What does it cost to set up a joint bail for a government contract?

Contact the financial institution, insurance entrepreneur or recognized company that has opened the deed. They determine themselves the amount they charge for their services. It is these institutions that can inform you about the opening costs and the monthly management costs for outstanding files.

 

My chosen institution has opened the deed of joint bail for a government contract with the CM Deposit Office. What happens next?

Within five working days after receiving the guarantee, the CM Deposit Office will send the registered deed to the financial institution, insurance entrepreneur or recognized company that has opened the deed.

The financial institution, insurance company or accredited company in turn forwards the deed to the person or government that has imposed the guarantee.

 

How long will a solidarity guarantee for a government contract remain open at the CM Deposit Office?

How long will a solidarity guarantee for a government contract remain open at the CM Deposit Office?

A bail remains open until the CM Deposit Office receives a letter of release from the person or government that has imposed the bail.

 

Where do I request the release of the solidarity guarantee for a government contract?

Where do I request the release of the solidarity guarantee for a government contract?

Address the person or government that imposed the bail. It is solely up to this person or government to request the release if they want to release the solidarity guarantee in whole or in part.

 

The person or government that imposed the bail sends the release request

  • or directly to the CM Deposit Office
  • or to the institution that has opened the deed, which in turn sends it to the CM Deposit Office

Upon receipt, the CM Deposit Office will always communicate the release to the financial institution, insurance entrepreneur or recognized company that has opened the deed of joint bail. 

 

How are solidarity guarantees released for a government contract when the person who imposed it has died?

In the event of the death of the person who has imposed the joint bail, all heirs of this person provide the following documents to the CM Deposit Office:

  • the release letter completed and signed by all heirs
  • the death certificate
  • the deed of reputation

 

Are interest on a solidarity guarantee for a government contract reimbursed by the CM Deposit Office?

In the case of a joint bail, no funds are deposited in the CM Deposit Office. Consequently, it cannot repay any interest.

 

Can a solidarity guarantee for a government contract be released on the basis of a judgment?

Can a solidarity guarantee for a government contract be released on the basis of a judgment?

A joint bail can possibly be released by a judgment. To this end, mail a copy of the judgment to the CM Deposit Office to investigate this.

 

I am the person or institution that has imposed the solidarity guarantee for a government contract. I am not satisfied with the work or deliveries carried out. What now?

I am the person or institution that has imposed the solidarity guarantee for a government contract. I am not satisfied with the work or deliveries carried out. What now?

If you believe that the works or deliveries have not been carried out properly, you can request a prior guarantee of solidarity. In this case you do not release the joint bail you have imposed.