Appeal Bond

AAA

DEFINITION of 'Appeal Bond'

An amount of money placed in holding while the appeal is being decided. An appeal bond is supplied by the appellant (plaintiff) who is appealing the court's judgment, and is usually in the amount of the original judgment (though it could be more). Referred to as a safety net bond which helps protect the court from frivolous appeals that cost the court time and money, an appeal is always posted by the losing party in a court case.

In an appeal, a court case is brought before a higher court. The higher court will only review issues objected to in the lower court during the initial trial, not new evidence. The bond is required by the Federal Rule of Appellate Procedure 7.

INVESTOPEDIA EXPLAINS 'Appeal Bond'

A losing defendant needs this to secure his right to appeal and stay the judgment. It is required by both federal and state court. The process of appealing involves posting a full judgment in addition to posting interest. An appeal bond should be discussed early in a case, since the cost of this bond can be high and defendants are required to post this bond a few weeks after the judgment.


Also referred to as a supersedeas bond.

RELATED TERMS
  1. Appellate Courts

    The part of the judicial system that is responsible for hearing ...
  2. Admiralty Court

    Any court governed by admiralty law, whether the court is officially ...
  3. Judgment

    A court order to the loser of a lawsuit to pay the winner a specified ...
  4. Judgment Lien

    A court ruling that gives a creditor the right to take possession ...
  5. Appeals Conference

    A conference that a taxpayer can request with the Internal Revenue ...
  6. Net Premiums Written To Policyholder ...

    A ratio of an insurance company’s gross premiums written less ...
Related Articles
  1. Build A Wall Around Your Assets
    Retirement

    Build A Wall Around Your Assets

  2. How To Appeal Your IRS Audit
    Taxes

    How To Appeal Your IRS Audit

  3. Let Your Intuition Guide Your Investments
    Active Trading Fundamentals

    Let Your Intuition Guide Your Investments

  4. The Foundation Of Structured Settlements
    Options & Futures

    The Foundation Of Structured Settlements

Hot Definitions
  1. Hyperinflation

    Extremely rapid or out of control inflation. There is no precise numerical definition to hyperinflation. Hyperinflation is ...
  2. Gross Rate Of Return

    The total rate of return on an investment before the deduction of any fees or expenses. The gross rate of return is quoted ...
  3. Debit Spread

    Two options with different market prices that an investor trades on the same underlying security. The higher priced option ...
  4. Leading Indicator

    A measurable economic factor that changes before the economy starts to follow a particular pattern or trend. Leading indicators ...
  5. Wage-Price Spiral

    A macroeconomic theory to explain the cause-and-effect relationship between rising wages and rising prices, or inflation. ...
  6. Accelerated Depreciation

    Any method of depreciation used for accounting or income tax purposes that allows greater deductions in the earlier years ...
Trading Center