Which type of bond occurs when money or property belonging to a plaintiff is attached while in the hands of a third party?

The correct answer identifies a garnishment bond, which is specifically designed to protect the rights of a defendant when a plaintiff seeks to have a court seize the defendant's property or money while a legal matter is being resolved. In situations where a plaintiff files a lawsuit and obtains a court order to garnish the defendant's wages or bank account, the garnishment bond ensures that the defendant is protected in case the court ultimately finds in favor of the defendant.

This type of bond acts as a financial guarantee that the plaintiff will be compensated should it later be determined that the garnishment was improperly initiated. Therefore, the bond secures the interests of both parties during the legal proceedings and ensures that the plaintiff has the necessary legal access to the funds or property, while simultaneously safeguarding the defendant against wrongful seizure.

Understanding garnishment bonds is essential in the context of surety bonds, as they illustrate the balance of interests between plaintiffs and defendants within the legal framework.