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. Paid Syndication

    Web syndication is the promotion or inclusion of content on a ...
RELATED FAQS
  1. How much of the profitability in the Internet sector is concentrated in the few major ...

    Outside of any limiting, narrow interpretations concerning what constitutes the Internet sector, there is very little industry ... Read Full Answer >>
  2. What is the difference between consumer surplus and economic surplus?

    The consumer surplus is the difference between the highest price a consumer is willing to pay and the actual market price ... Read Full Answer >>
  3. What techniques are most useful for hedging exposure to the banking sector?

    The banking sector moves in the same direction as the broader market, but its volatility is much lower. The sector's stability ... Read Full Answer >>
  4. How is accounting in the United States different from international accounting?

    Despite major efforts by the Financial Accounting Standards Board, or FASB, and the International Accounting Standards Board, ... Read Full Answer >>
  5. How important are seasonal trends in the automotive sector?

    The automotive industry has some definite seasonal trends, with peak demand occurring in the spring and fall, and lowest ... Read Full Answer >>
  6. How do I find the information needed for input into the Dividend Discount Model (DDM)?

    Analysts and investors should utilize a company’s financial statements, stock information websites and any number of analysis ... Read Full Answer >>
Related Articles
  1. Retirement

    Build A Wall Around Your Assets

    Learn how to protect your money from lawsuits, creditors and other judgment proceedings.
  2. Taxes

    How To Appeal Your IRS Audit

    The auditor's review isn't always the last word. Many taxpayers who are audited can successfully appeal their audits and save thousands of dollars.
  3. Active Trading Fundamentals

    Let Your Intuition Guide Your Investments

    Don't ignore that gut feeling - it might just be leading you in the right direction.
  4. Options & Futures

    The Foundation Of Structured Settlements

    This annuitized payment setup should be arranged through impartial attorneys and tax agents.
  5. Investing

    When A Dispute With Your Broker Calls For Arbitration

    Do you have a claim you'd like to file? We'll take you through this process step by step.
  6. Home & Auto

    Protect Your Company From Employee Lawsuits

    Understanding employment practices liability insurance is easy, once you know the basics.
  7. Economics

    What is Adverse Selection?

    Adverse selection occurs when one party in a transaction has more information than the other, especially in insurance and finance-related activities.
  8. Economics

    Explaining Brand Equity

    The value premium that a company realizes from a product with a recognizable name as compared to its generic equivalent.
  9. Economics

    What is a Capital Account?

    Capital account is an economic term that refers to the net change in investment and asset ownership for a nation.
  10. Economics

    Understanding Carrying Value

    Carrying value is the value of an asset as listed on a company’s balance sheet. Carrying value is the same as book value.

You May Also Like

Hot Definitions
  1. Venture-Capital-Backed IPO

    The selling to the public of shares in a company that has previously been funded primarily by private investors. The alternative ...
  2. Merger Arbitrage

    A hedge fund strategy in which the stocks of two merging companies are simultaneously bought and sold to create a riskless ...
  3. Market Failure

    An economic term that encompasses a situation where, in any given market, the quantity of a product demanded by consumers ...
  4. Unsystematic Risk

    Company or industry specific risk that is inherent in each investment. The amount of unsystematic risk can be reduced through ...
  5. Security Market Line - SML

    A line that graphs the systematic, or market, risk versus return of the whole market at a certain time and shows all risky ...
  6. Tangible Net Worth

    A measure of the physical worth of a company, which does not include any value derived from intangible assets such as copyrights, ...
Trading Center