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Maryland Lottery Bonds

What is a Maryland Lottery Bond?

The Maryland State Lottery Agency requires licensed Lottery Sales Agents to furnish a surety bond in order to legally operate in the state. The surety bond is required because the lottery agent receives funds, goods and other property of the Maryland State Lottery Agency in conjunction with the license and the lottery agent is obligated to remit these items by timely weekly settlements pursuant to State Government Article, § 9-101 et seq. If the agent fails to execute as described, the surety company must refund the Lottery Agency any and all financial losses incurred, including principal, interest and penalties pursuant to SG, § 9-119(e). This surety bond may be cancelled by the surety as to subsequent liability with sixty days notice of the cancellation in writing to the Maryland State Lottery.

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