Federal supersedeas practice operates under Federal Rule of Civil Procedure 62 (stay of proceedings to enforce a judgment) and Federal Rule of Appellate Procedure 7 (bond for costs on appeal). There is no statutory cap on the federal supersedeas bond; the rule provides that the appellant may obtain a stay by posting a bond approved by the district court. We write federal supersedeas bonds in all 94 U.S. District Courts and for appeals to all 13 Circuit Courts of Appeals and the U.S. Supreme Court.
The federal supersedeas bond is the appellant's primary defense against execution on a federal judgment. Under Federal Rule of Civil Procedure 62(b), "at any time after judgment is entered, a party may obtain a stay by providing a bond or other security." Without the bond, the prevailing party can begin enforcement under Rule 69 immediately after judgment.
The federal rule does not specify a bond multiplier. The traditional federal practice has been to require a bond equal to the judgment plus an estimate of interest at the federal post-judgment rate (28 U.S.C. §1961, currently set by reference to the one-year constant maturity Treasury rate) for the projected duration of the appeal. Most courts apply a 1.1× to 1.25× factor over the bare judgment to account for interest and costs accrual during the appeal.
The bond is filed with the U.S. District Court clerk; the district court approves the form and amount before execution is stayed. On appeal, the district court retains jurisdiction over the bond even after the appellate court takes the case on its merits.
Three federal authorities govern. FRCP 62 is the operative stay rule. FRAP 7 authorizes the district court to require a bond for costs on appeal — typically incorporated into the supersedeas bond. 28 U.S.C. §1961 sets the post-judgment interest rate that accrues during the bond term.
Federal supersedeas bonds are collateral-typical. Full collateral equal to the bond amount is the standard requirement, accepted in cash, irrevocable letter of credit, or U.S. Treasury securities. Real estate is not accepted.
For applicants with substantial unencumbered net worth and strong liquid position, non-collateralized placement is available through our non-standard program. Audited financials, three years of tax returns, and confirmation of no pending claims are required.
Filing is with the U.S. District Court clerk that entered the judgment. The district court must approve the bond before execution is stayed. We routinely coordinate with appellate counsel to ensure the bond form satisfies both the issuing district court and the receiving Circuit's requirements.
Send the judgment, the notice of appeal, and the district court's bond order. Our underwriters open the file and respond immediately, 7/52/365.