The Refunding Bond and Release has a dual purpose:
By signing a refunding bond the beneficiary is agreeing in the event the assets distributed to them are needed at a later time to pay a debt of the estate, the beneficiary will return part or all of the assets needed to pay those debts.
The beneficiary is releasing the Executor/Administrator from any liability pertaining to the administration of the estate. It discharges the Executor/Administrator from any future duties regarding the estate.
The Refunding Bond and Release must be signed by the beneficiary before a Notary Public or attorney. If the beneficiary is a minor or incapacitated person, the Refunding Bond and Release must be signed by the guardian of the property. If the beneficiary is a trust, the refunding Bond and Release must be signed by the trustee.
TO CANCEL A SURETY BOND:
In an Administration that required a Surety Bond, said Bond will not be cancelled by the insurance agent unless the Certificate of Release is presented to the agent. To obtain this certificate, all Refunding Bonds must be filed with the Surrogate’s Court and the Administrator must submit a written request and $5.00 fee for a Certificate of Release from the Surrogate.