When a bondsman takes possession of property or creates a lien under these provisions, on whose behalf do they act, and what is their fiduciary relationship?

• A. The insurer only.
• B. The principal only.
• C. The insurer, and the bondsman is fiduciary to both the principal and the insurer.
• D. The county.

Answer: (C)

In a bail bond arrangement, the bondsman operates as an agent for the insurer (the surety company) and may take possession of collateral or create a lien to secure the bond. Because the bondsman is entrusted with the principal’s property and with the insurer’s financial exposure, they stand in a fiduciary role to both parties. They must act loyally and in good faith, safeguarding the collateral and handling it in the best interests of the insurer while also respecting the principal’s rights to the property to the extent allowed by the bond. The county is not part of this fiduciary relationship.