If you are engaged as a Grade A Milk Dealer in Michigan you are required under the Grade A Milk Law of 2001 (Act No. 266, Public Acts 2001) to file a Michigan Milk Dealer Bond as a condition of licensure.
A surety bond protects the party requesting the bond, the Obligee, against any financial losses as a result of poor financial decisions, damages, unethical decisions, or a failure to follow state and local laws on the part of you, the Principal. The Michigan Milk Dealer Bond holds you accountable for your business decisions.
By possessing a Michigan Milk Dealer Bond, you are telling your Obligee that you can be trusted as a Principal and that you stand behind your business decisions.