The word has historically been used along the borderland as a derogatory term to mean lower class Mexican migrants, and in the rest of Latin America to mean an acculturating Indian or peasant. Despite, or because of, its long history of denigrating semantics, the term Cholo was turned on its head and used as a symbol of pride in the context of the ethnic power movements of the 1960s.
Principals have different roles depending on the nature of an individual business, but the universal responsibility of a commercial business principal is significant influence. Some principals are also the founder, owner and CEO. Others own a large portion of company equity and sign off on major decisions.
For example, with license and permit surety bonds the principal is typically the party applying for a specific license or permit required to operate their business, such as a mortgage broker, insurance agent, auto dealer, contractor or health club owner. The obligee is the party granting that license or permit to the principal. The bond is the financial agreement that the principal will operate their business according to the laws and regulations for that particular industry within that state. Return to Surety Bonds Defined.