Form 65VV – Affidavit of Justification of Sureties

Jurisdiction: Country: Canada | Province/State: Prince Edward Island

What is a Form 65VV – Affidavit of Justification of Sureties?

Form 65VV is a sworn affidavit used in Prince Edward Island civil matters. It is the document a surety uses to prove they are financially able to back a bond or recognizance. A “surety” is a person who promises to pay if the principal does not meet a court-ordered obligation. The affidavit explains who the surety is, their assets and debts, and why they can cover the bond amount.

You use this form when a court requires security and you are offering individual sureties rather than a bond from an insurer. The affidavit supports the bond by showing the court that the sureties are “sufficient.” A sufficient surety has assets that can be reached if the bond is forfeited. The affidavit is sworn and filed with the court so the registrar, or a judge, can assess the sureties.

Who typically uses this form?

You will most often see it in civil cases that require security. Litigants use it when posting security for costs. Appellants use it to secure a stay pending appeal. Plaintiffs use it when they need a replevin or attachment bond. Applicants for estate or guardianship appointments may need sureties for a bond. Receivers or trustees may also need a bond backed by sureties. In each case, a person acting as surety completes Form 65VV to justify their ability to pay if required.

Why would you need this form?

If the court orders you to post security, the order will set an amount. You can provide security in different ways. If you choose to use individual sureties, the court will expect proof that each surety can pay. The affidavit is that proof. It gives the court a clear snapshot of the surety’s financial capacity. It also confirms the surety understands the commitment and is not indemnified by the principal.

Typical usage scenarios:

• Security for costs in ongoing litigation. If you sue and the defendant gets a security for costs order, you may post a bond backed by two individual sureties.
• Consider an appeal. You may seek a stay of enforcement pending appeal. The court may order an appeal bond. Again, your sureties swear Form 65VV to justify their means.
• In property recovery cases, a replevin bond may be needed before the sheriff seizes and delivers goods. Your sureties justify using this affidavit. In estate matters, a personal representative may have to post a bond. If you do not use a corporate bond, your sureties justify with Form 65VV so the registrar can approve the bond.

The form is practical and straightforward. It states the surety’s identity, residence, and occupation. It sets out the surety’s real property, personal property, and debts. It lists existing guarantees and other bonds. It includes a statement that the surety has enough unencumbered assets to cover the bond. The surety swears these facts before a commissioner for oaths or notary. The sworn affidavit then attaches to the bond and goes on the court file.

When Would You Use a Form 65VV – Affidavit of Justification of Sureties?

You use this form when the court expects proof that your sureties are good for the amount. The need arises whenever the rules or an order require security and you rely on individuals as sureties. If a security for costs order is made, you may propose two residents as sureties. The court will want to know their net worth and whether they can stand behind the bond. Each will complete this affidavit and disclose assets, liabilities, and any existing commitments.

An appeal is another common setting. You may seek a stay of a money judgment while appealing. The court may allow a stay if you post a bond. If you do not provide a corporate surety bond, you will need individuals who can justify. Their affidavits will show sufficient equity, often in Prince Edward Island real property, to cover the full penal sum.

In property recovery or interim preservation applications, the court may require a bond to protect the other side. If you are taking possession of disputed goods under a replevin order, you may need a bond. The opposing party is protected if the goods were wrongly seized. Your sureties file Form 65VV to prove their means. The same idea applies to interim injunctions that require an undertaking with a bond. The court looks for reliable security. The affidavit helps confirm reliability.

You may also see this form in estate and guardianship files. If you apply for administration of an estate without a will, the court may require a bond. The bond protects beneficiaries and creditors. If you cannot secure a corporate bond, you can use two individual sureties. The registrar will review their affidavits to confirm adequacy. Guardianship of property applications can raise the same requirement. The bond protects the incapable person’s assets. Form 65VV helps the court confirm that the sureties can answer for any default.

Business owners can also face bond requirements in civil litigation. A company seeking an injunction or posting security for costs may rely on directors or shareholders as sureties. Those individuals would justify using this form. Landlords and tenants are less likely to use this form in routine tenancy matters. But a commercial landlord seeking a prejudgment remedy may need a bond. In that case, sureties justify with Form 65VV.

The common thread is simple. When you choose individual sureties instead of a corporate bond or cash, you need to justify them. The form is how you do it. The court reviews the affidavits and either accepts or rejects the sureties. If rejected, you may replace them or choose another form of security.

Legal Characteristics of the Form 65VV – Affidavit of Justification of Sureties

Form 65VV is an affidavit. That makes it a sworn statement of fact. When a surety swears this affidavit, they attest that each line is true to the best of their knowledge. An affidavit is legally binding because the court relies on it to make decisions. It is also enforceable because false statements can lead to serious consequences. A false affidavit can expose the deponent to sanctions. Those include contempt findings or criminal liability for perjury.

The affidavit also connects to the enforceability of the bond. The bond is the instrument that creates the surety’s liability. The affidavit does not create the liability. It supports the bond by proving the surety’s sufficiency. Courts in Prince Edward Island expect sureties to be real, solvent, and reachable. The affidavit answers those questions in a formal and testable way.

What ensures enforceability?

First, the affidavit is sworn before a commissioner for oaths or notary. The jurat confirms who swore, where, and when. Second, the content is specific. It lists assets, encumbrances, and other obligations. The court can test and verify the numbers. Third, the affidavit is filed. It becomes part of the court record. If there is a dispute about security, the court can call the surety for cross‑examination. The surety may have to provide further proof. That could include property assessments, title searches, mortgage statements, or bank statements. The affidavit provides a transparent baseline for that review.

There are general legal considerations to keep in mind. A surety should be independent. Courts are wary of sureties who are indemnified by the principal. If the principal promises to repay the surety, that undermines the security. The form includes a declaration that the surety is not indemnified. The court will also look at residence. A resident surety with assets in Prince Edward Island is easier to enforce against. The court may prefer or require local assets. Real property equity is often the most persuasive form of security. Personal property can also count, but it is more mobile and harder to seize.

Another key point is net equity. The court focuses on the surety’s equity after deducting mortgages, liens, and other debts. The surety must also disclose other bonds they are on. The same equity cannot support multiple bonds beyond its value. The affidavit should show that the surety has enough net equity to cover the penal sum. If two sureties are used, each should have sufficient capacity, or the order may specify a combined requirement.

Timing matters. The affidavit should be current. An old affidavit may not satisfy the registrar. If the numbers change, the court may ask for an updated affidavit. Also, confidentiality is limited. The affidavit becomes part of the court file, unless sealed. A surety should understand that their financial information may be accessible to the other side. If that is a concern, you can seek directions from the court on filing under seal. The court will balance privacy with the need for transparency.

Finally, format and execution rules are important. The affidavit must be legible and complete. The jurat must include the place and date. The commissioner must print their name and capacity. Exhibits must be marked and referenced. Any alteration must be initialled by the surety and the commissioner. Failure to follow these formalities can delay approval.

How to Fill Out a Form 65VV – Affidavit of Justification of Sureties

1) Confirm the requirement and amount

• Read the order or rule that requires security.
• Confirm the penal sum of the bond and any deadlines.
• Check whether the court requires one or two sureties.

2) Choose eligible sureties

• Select adults who understand the risk and are willing to sign.
• Prefer residents with assets in Prince Edward Island.
• Avoid parties to the action and those who expect indemnity.
• Ensure each surety has enough net equity to cover their share.

3) Gather financial documents

• Property tax assessments and recent appraisals.
• Mortgage, line of credit, and lien statements showing balances.
• Bank, investment, and retirement account statements.
• Proof of other significant assets and any existing bonds.
• Government photo ID for commissioning.

4) Complete the court caption

• At the top, fill in the court file number.
• Insert the style of cause exactly as it appears on the file.
• Specify the division or location of the court registry, if required.

5) Identify the bond or recognizance

• State the type of bond this affidavit supports.
• Name the principal on the bond and the penal sum.
• Reference the order or proceeding that requires the bond.

6) Provide the surety’s identity details

• Enter full legal name, civic address, and mailing address.
• State occupation and employer or indicate “self‑employed” or “retired.”
• State citizenship or residency status if requested by the form.

7) Confirm independence and understanding

• State that you are not a party to the proceeding.
• State that you are not indemnified by the principal or anyone else.
• Acknowledge you understand the obligation and risk.

8) List real property assets

• Provide the civic address and legal description for each property.
• Include parcel or property identification number if known.
• State ownership type: sole, joint, or tenant in common.
• State fair market value and how you determined it.
• List all mortgages, lines of credit, and liens with current balances.
• Calculate net equity for each property after encumbrances.
• Attach as Schedule A any supporting statements or assessments.

9) List personal property assets

• Summarize balances in bank and investment accounts.
• List significant vehicles, equipment, or other valuable items.
• Include business interests and receivables, if any.
• Estimate conservative values and note any security interests.
• Attach as Schedule B supporting statements.

10) Disclose liabilities

• List credit cards, loans, and other debts with current balances.
• Include contingent liabilities and guarantees you have given.
• Note any judgments or pending collections.
• Attach as Schedule C recent statements supporting the balances.

11) Disclose other bonds or surety obligations

• State whether you are a surety on any other active bonds.
• Specify the amounts and courts for those bonds.
• Confirm the remaining equity after accounting for those obligations.

12) State overall net worth and coverage

• Summarize total assets and total liabilities.
• State your net worth and the amount of unencumbered equity.
• Confirm that your equity is sufficient to cover the penal sum.
• If there are two sureties, state the portion you intend to cover.

13) Add contact and service details

• Provide phone and email for contact by the registry or parties.
• Confirm your availability for cross‑examination, if required.

14) Attach exhibits and schedules

• Mark each schedule with a letter and a short description.
• Cross‑reference each schedule in the body of the affidavit.
• Black out account numbers except for the last few digits, if desired.
• Ensure each exhibit is complete, current, and legible.

15) Review accuracy and completeness

• Double‑check legal names, addresses, and file numbers.
• Verify math for equity and net worth.
• Confirm all encumbrances and debts are disclosed.
• Ensure there are no blank fields.

16) Swear or affirm the affidavit

• Appear before a commissioner for oaths or a notary in Prince Edward Island.
• Bring valid ID and all pages and schedules for stamping.
• Sign each page if required; initial any corrections.
• The commissioner completes the jurat with place and date and prints their name.

17) Repeat for each surety

• If two sureties are required, each completes a separate Form 65VV.
• Ensure both affidavits follow the same level of detail.

18) Assemble with the bond

• Attach each sworn affidavit behind the bond or recognizance.
• Ensure the bond itself is properly executed by the principal and sureties.
• If the bond requires witnesses, have independent witnesses sign.

19) File and seek approval

• File the bond and affidavits with the court registry before the deadline.
• Ask the registry if registrar approval or appointment is needed.
• Be prepared to provide original exhibits upon request.
• If the registrar raises issues, correct them promptly.

20) Serve if required

• If the order or rules require service on the other side, serve filed copies.
• Keep proof of service in case the court asks for it.

21) Address challenges or examinations

• The other side may object to sufficiency or request cross‑examination.
• If examined, answer questions and bring supporting documents.
• Consider supplementing with updated statements if values changed.

22) Keep copies and monitor obligations

• Keep certified copies of the bond and affidavits.
• Track the case milestones tied to the bond.
• Do not encumber pledged assets while the bond is in force without advice.

Practical tips can help you avoid delays. Choose sureties with clear, documented equity that exceeds the bond. Real property equity in Prince Edward Island tends to be persuasive. Use current mortgage and tax statements to support values. Do not overestimate values. Conservative numbers reduce objections. Disclose joint ownership and explain how much equity is yours. Courts care about your share, not the total value. If you are on other bonds, be candid. Show how much equity remains after those commitments.

Avoid common mistakes. Do not leave out liens or lines of credit. Do not forget to list contingent liabilities. Do not rely on stale statements. Do not alter the affidavit after swearing. If you need a change, swear a new affidavit. Ensure the jurat includes the place and date. Make sure names match across the bond, affidavit, and schedules. If the surety signs with initials on accounts or properties, include full names in the affidavit body.

If you decide to use a corporate surety bond instead, ask if the court will accept it without individual justification. Many courts do. If you stick with individual sureties, expect scrutiny. The registrar’s role is to protect the integrity of the process. The more complete your affidavit, the smoother the approval.

Finally, remember the commitment. A surety’s obligation is real. If the court calls the bond, the surety may have to pay up to the penal sum. That is why the affidavit asks for detailed financial information and a clear acknowledgment. By completing Form 65VV with care, you show the court that the bond is reliable, enforceable, and fair to all parties.

Legal Terms You Might Encounter

• Surety means you personally guarantee someone else’s obligation to the court. On this form, you swear that you have enough assets to cover the bond if the principal fails to perform. You are not promising to pay today; you are confirming you can pay if the court calls on the bond.
• Principal is the person who must post the bond. They are the one with the court obligation. As a surety on this form, you pledge your financial strength to back the principal’s promise.
• Bond is the written guarantee filed with the court. It sets the penal sum and the conditions. Your affidavit of justification is the evidence the court uses to decide if the bond is adequately backed by real assets.
• Penal sum is the maximum amount the bond covers. On this form, you must show you are worth at least the penal sum, after subtracting your debts and any encumbrances. If two sureties sign, each surety’s net worth should align with what the court requires for the total.
• Affidavit is a sworn statement of facts. This form is an affidavit. You must sign it in front of an authorized official. You swear the asset values, debts, and other details are true to the best of your knowledge.
• Deponent is the person swearing the affidavit. As the surety, you are the deponent. Your full legal name, occupation, and address must match the bond and any identification you present when you swear.
• Justification refers to the proof that your assets are real and sufficient. In this form, you “justify” by listing assets, describing encumbrances, and confirming your net worth meets or exceeds the penal sum.
• Net worth is what you own minus what you owe. The form relies on your net worth, not gross asset values. You must deduct mortgages, liens, lines of credit, and any other charges to show what is actually available.
• Encumbrance is any legal claim on property, like a mortgage, lien, or security interest. In the affidavit, you must disclose these. You should show both the property value and the amount of the encumbrance so the court can see the equity.
• Execution or judgment can affect whether your assets are available. If there is a judgment or a writ of execution against you, it may reduce your net worth. You must disclose any such claims so the court understands your true financial position.
• Residence is where you live. Many courts expect sureties to be residents within the province. On this form, you will provide your address. If you live outside the province, the court may ask for more information or a different form of security.
• Indemnity is a promise to make someone whole if they suffer a loss. If the bond is called and the court pays out, the principal may have to indemnify you as the surety. This does not change your obligation to the court, but it can affect your agreement with the principal.

FAQs

Do you need two sureties or just one?

It depends on the bond and the court. Some bonds accept one surety if that person’s net worth clearly covers the penal sum. Others ask for two sureties who together meet the total. Ask the registry what your specific bond requires before you prepare affidavits.

Do you have to live in the province to be a surety?

Many courts prefer sureties who live in the province and have assets there. If you live elsewhere, be ready to show reliable local assets or to provide extra assurance. Confirm what the registry expects so you do not waste time on a form that will be refused.

Do you need to appear in person to swear the affidavit?

Yes. You must swear or affirm the affidavit before an authorized official. That can be a commissioner for oaths, a notary public, or another authorized person. Bring valid ID. Do not sign the form in advance. Sign only when the official instructs you to sign.

What assets count for justification?

Courts look for clear, verifiable assets. Common examples include home equity, other real estate, cash on deposit, non-registered investments, and certain vehicles with clear title. Expect to provide recent statements, tax assessments, or appraisals to support your numbers. Avoid relying on assets that are hard to value or encumbered by large debts.

Can you count jointly owned property?

You can usually count only your share of any jointly owned asset. If you own a house jointly, you typically list your percentage of the equity, not the full value. If there are spousal rights or other shared interests, the court may discount your share. Be conservative and provide documents showing ownership and encumbrances.

Should you include RRSPs, pensions, or locked-in accounts?

Use caution. Some registered or locked-in accounts may be restricted. If you include them, explain any withdrawal limits or penalties. The court may discount these assets because they are not readily available to satisfy the bond.

Can a spouse be your co-surety?

Sometimes. A spouse can serve if they have independent assets and meet the same disclosure standards. If much of the wealth is shared, the court may decide the two sureties do not provide separate security. Ask the registry how it treats spouses as co-sureties in your context.

What happens if your financial situation changes after filing?

Tell the principal and their lawyer right away. If your net worth falls below what the court accepted, the court may ask for a replacement surety or an amended affidavit. Do not wait until there is a problem. Give early notice so the principal can avoid delays or defaults.

Do you need appraisals?

Not always. For common assets like cash and public investments, statements often suffice. For real estate, a recent assessment or an appraisal helps. If your equity is close to the penal sum, stronger proof is better. The registry may ask for more proof if values are unclear.

What if the court rejects your affidavit?

Fix the issues quickly. You may need to add documents, correct numbers, or switch assets. Sometimes the court will ask for a different surety or a corporate surety. Get exact feedback from the registry so your resubmission addresses every concern.

Checklist: Before, During, and After the Form 65VV – Affidavit of Justification of Sureties

Before signing

• Confirm the bond’s penal sum and conditions. Know the exact amount you must justify.
• Verify the court file number, the parties’ names, and the principal’s role.
• List all assets you plan to rely on, with current values and ownership details.
• Gather proof for each asset: bank statements, investment statements, property tax assessments, appraisals, vehicle ownership documents, and any other title records.
• Collect documents for all encumbrances: mortgage statements, lines of credit, liens, and any registered security interests.
• Prepare a list of your current debts: credit cards, loans, tax arrears, judgments, or other obligations.
• Decide whether to include jointly owned assets. If yes, note your exact share and get supporting documents showing joint ownership and outstanding balances.
• Check any restrictions on funds (locked-in accounts, penalties, or holds).
• Bring valid photo ID for swearing the affidavit.
• Confirm the name and availability of an authorized official to witness your oath or affirmation.
• If there will be two sureties, coordinate so your combined net worth comfortably exceeds the penal sum.

During signing

• Review your legal name, address, and occupation. Match your ID and any bond documents.
• Confirm the penal sum and court file number are correct and consistent with the bond.
• Verify asset values are current and conservative. Do not use estimates you cannot prove.
• Deduct all encumbrances and debts. Use net figures and show the math.
• Make sure each page is complete. Do not leave blanks or stray marks.
• Strike out any unused lines and initial the strikeouts.
• Initial every alteration. Avoid white-out.
• Confirm the date and location of the swearing are filled in by the official.
• Swear or affirm the affidavit in front of the official. Sign exactly as your name appears in the caption.
• Ensure the official completes their jurat and includes their full name, capacity, and expiry (if applicable).
• If there are exhibits (like appraisals), have the official mark them and reference them in the affidavit, if required by the registry.

After signing

• Attach the affidavit to the bond or file it as directed by the registry.
• Pay any filing fees. Ask for a stamped copy.
• Provide a copy to the principal or their lawyer.
• If there are co-sureties, exchange copies so everyone knows what was filed.
• Store your stamped copy with your supporting documents in a secure place.
• Calendar key dates: bond approval, any hearing that depends on the bond, and any expected discharge date.
• If the registry asks for more proof, respond promptly with updated statements or letters from lenders.
• Notify the principal immediately if your financial situation changes.
• At the end of the case, ask the principal or their lawyer about getting the bond discharged and returning any originals.

Common Mistakes to Avoid Form 65VV – Affidavit of Justification of Sureties

Overstating asset values

• Consequence: The court may reject the affidavit or discount your figures. It can delay orders and increase costs.
• Friendly warning: Use realistic market values and current statements. Don’t guess.

Ignoring encumbrances and debts

• Consequence: Your net worth may not meet the penal sum, and the affidavit can be refused.
• Friendly warning: Deduct every mortgage, lien, and loan. Don’t forget lines of credit.

Signing outside the presence of an authorized official

• Consequence: The affidavit is invalid. You will need to re-sign. This can cause missed deadlines.
• Friendly warning: Sign only when the official tells you to sign. Bring valid ID.

Relying on jointly owned assets without proof of your share

• Consequence: The court may discount the value, leaving your justification short.
• Friendly warning: Provide documents showing joint ownership and outstanding balances. Use only your share of the equity.

Leaving blanks or uninitialed changes

• Consequence: Filing staff may reject the document. Resubmission wastes time.
• Friendly warning: Complete every field. Strike out unused lines and initial corrections.

Waiting too long to update after a major financial change

• Consequence: The court may call for replacement sureties or suspend orders dependent on the bond.
• Friendly warning: Tell the principal right away. File an updated affidavit if needed.

What to Do After Filling Out the Form Form 65VV – Affidavit of Justification of Sureties

1) File with the registry

• Submit the affidavit with the bond or as the registry instructs. Ask for a stamped copy for your records.
• If the court needs originals of supporting documents, bring them for inspection and file copies.

2) Respond to any follow-ups

• If the registry requests more proof or clarification, reply quickly. Provide updated statements or clearer valuations.
• If your affidavit falls short, consider adding a co-surety, substituting assets, or adjusting the bond format, if permitted.

3) Track the court’s acceptance

• Confirm that the bond and your affidavit have been accepted. Get written confirmation if possible.
• If acceptance is tied to a hearing or order, ensure the court has everything before the hearing date.

4) Communicate with the principal

• Let the principal or their lawyer know the filing is complete and whether the court raised any conditions.
• Keep them updated if anything changes with your finances that could affect the bond.

5) Amend or replace if circumstances change

• If your net worth decreases, offer updated information right away. The court may require a new affidavit or a new surety.
• If the penal sum increases, expect to file a fresh affidavit or add another surety.

6) Maintain records

• Keep a complete file: the sworn affidavit, stamped copies, the bond, and all supporting documents.
• Store statements and appraisals used to justify values. You may need them later if the court asks for proof.

7) Plan for discharge

• When the underlying obligation ends, ask how and when the bond can be discharged.
• Follow the registry’s steps to obtain a discharge or release. Keep the discharge with your records.

8) Know your exposure

• Remember: as a surety, you remain on the hook up to the penal sum until discharge.
• If the bond is called, you may have to pay. Address any indemnity arrangements with the principal in writing.

9) Stay proactive

• Calendar renewal, review, or discharge milestones.
• If you foresee changes in your assets, raise them early so the principal can avoid any lapse in bond security.