When the court declares the bond exonerated, the bondsman is released from his guarantee that the defendant will appear in court. The collateral should be returned to the cosigner at this time if no money is due the bail agent. Exonerations usually happen when the case is decided (defendant found guilty or not guilty), but can be done anytime the judge feels the bail bond is no longer necessary to assure the appearance by the defendant in court.

the act of vindicating or defending against criticism or censure etc.; "friends provided a vindication of his position"

The act of disburdening, discharging, or freeing morally from a charge or imputation; also, the state of being disburdened or freed from a charge.

The removal of a burden, charge, responsibility, or duty.

Exoneration occurs when a person who has been convicted of a crime is later proved to have been innocent of that crime. Attempts to exonerate convicts are particularly controversial in death penalty cases, especially where new evidence is put forth after the execution has taken place. DNA testing resulted in the first convict, David Vasquez, to be released from a United States' prison in 1989.

the condition of being relieved from blame or obligation