What Is an Oregon Farm Labor Contractor Bond?
If you’d like to start operating as a farm labor contractor in Oregon, you need to undergo a licensing process with the state Bureau of Labor and Industries. One of the requirements you have to meet is to post a farm labor contractor bond.
The purpose of the bond is to protect the interests of your employees, as well as business partners and subcontractors. If a party suffers damages due to any illegal actions you may commit, they can seek a reimbursement by making a claim on your bond.
Your Oregon surety bond, just like the rest of bonds, is a three-party contract. The principal is your farm labor contracting business. The obligee is the Bureau of Labor and Industries, to which you have to present the bond. Finally, the third entity is the surety, which provides the bonding.
Questions about Farm Labor Contractor Bond in Oregon
Who is required to obtain this bond?
The Oregon farm labor contractor license is obligatory for any entity that wants to conduct activities as a farm labor contractor in the state. Together with all necessary paperwork, you should submit a surety bond in the official bond form to demonstrate your financial responsibility. It ensures your compliance with all applicable state rules, including Chapter 183 of the Oregon Revised Statutes.
How much does the farm labor contractor bond cost?
The bond amount you have to obtain depends on the number of employees you want to hire. You need a $10,000 farm labor contractor bond for less than 20 employees, and a $30,000 bond for 21 and more employees. The bond requirement for contractors who operate farmworker camps is $15,000.
The bond amount is what you have to provide as a licensing requirement. It is different from your bond premium. This is your actual bond price, and it is typically between 1% and 5% of the bond amount.
Surety bond name | Surety bond amount | Above 700 | Between 650-699 | Between 600-649 | Below 599 |
---|---|---|---|---|---|
For 20 or fewer employees | $10,000 | $100-$150 | $100-$250 | $250-$500 | $500-$1,000 |
For 21 or more employees and for agricultural associations | $30,000 | $225-$450 | $300-$750 | $750-$1,500 | $1,500-$3,000 |
Farm labor contractors operating farmworker camps | $15,000 | $112.5-$250 | $150-$375 | $375-$750 | $750-$1,500 |
Your exact surety bond cost is set on the basis of diverse factors, such as your personal credit score, business finances, and assets and liquidity. By examining them, your surety aims to assess the level of risk that bonding you presents. If your overall profile is stable, you can expect to pay less to get bonded.
What if I have problematic finances?
If you are struggling with issues such as a low credit score, tax liens, bankruptcies, or civil judgements, you can still get bonded with us. Lance Surety Bonds operates its Bad Credit Surety Bonds program for applicants with problematic finances.
The rates are slightly higher, in the range of 5% to 10%. This is needed to compensate for the increased bonding risk. Our close collaboration with numerous A-rated, T-listed surety companies still allows us to offer you an outstanding bond option.
How Do I Get Bonded?
Need more details about the way bonding works? Our How to Get Bonded page can give you a thorough insight into the topic.
You can also call us at (877) 514-5146. Our bonding experts are here to help you out with any questions or with your application.
What happens in case of a bond claim?
Unlike insurance, your farm labor contractor bond does not protect your business. It is required in order to safeguard the interests of your employees and partners. If you fail to make due payments to such parties, or transgress from your legal obligations in another way, you can be kept liable via a bond claim.
Claimants can seek a reimbursement up to the penal sum of your bond. While your surety can take over the costs at first, you have to repay it in full afterwards. This makes claims a serious threat for your company’s stability and finances.
About Us

Still Have Questions? Check Our FAQ Pages
What Our Clients Have To Say?
-
Kimberlee AblesQuick response times and turn around for issuing bonds. Great customer service and very knowledgeable. We have used Lance Surety multiple times and have never been disappointed. Highly recommend them and Collette!
-
Andrew PoincotLong story short, these guys cut through the B.S. and get the job done. Responsiveness, excellent! Communication, excellent! Respect for their industry partners, excellent! John, Collette, Ryan, you're all-stars! Thank you!
-
Margie MartinezWe decided for Lance Surety Bond's quote for 2 reasons; Price and Customer Service. Our Representative Ryan was just SUPERB!! [...] I highly recommend Lance Surety Bond for all your Bonding needs! I'll definitely come back for all of mine. :-) Thanks Ryan!