Senate Bill sb1916er

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  1

  2         An act relating to bail bond agencies and

  3         agents; creating s. 648.24, F.S.; declaring

  4         public policy; amending s. 648.25, F.S.;

  5         defining terms; amending s. 648.27, F.S.;

  6         prescribing licensure requirements for managing

  7         general agents; creating s. 648.285, F.S.;

  8         providing for temporary permits; amending s.

  9         648.29, F.S.; prescribing requirements for

10         build-up accounts; amending ss. 648.30, 648.31,

11         F.S.; eliminating references to runners;

12         amending s. 648.34, F.S.; revising

13         qualifications for bail bond agents; amending

14         s. 648.355, F.S.; revising qualifications for

15         temporary licenses; amending s. 648.36, F.S.;

16         requiring licensees to maintain certain

17         records; amending s. 648.381, F.S.; prescribing

18         additional education requirements for certain

19         persons seeking reexamination; amending ss.

20         648.382, 648.383, F.S.; eliminating references

21         to runners; requiring an affidavit regarding

22         premiums owed; amending s. 648.384, F.S.;

23         eliminating references to runners; amending s.

24         648.385, F.S.; removing obsolete provisions;

25         amending s. 648.386, F.S.; increasing certain

26         education requirements; creating s. 648.387,

27         F.S.; providing for the designation of primary

28         bail bond agents; amending s. 648.388, F.S.;

29         prescribing requirements for managing general

30         agents; amending ss. 648.39, 648.41, F.S.;

31         eliminating references to runners; amending s.


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  1         648.44, F.S.; prohibiting certain forms of

  2         solicitation and advertising; eliminating

  3         references to runners; amending s. 648.441,

  4         F.S.; eliminating references to runners and

  5         establishing a fine for certain violations;

  6         amending s. 648.442, F.S.; prescribing

  7         requirements relating to collateral security;

  8         prescribing requirements for the appointment of

  9         certain bail bond appointees who were

10         previously appointed; amending s. 648.4425,

11         F.S.; requiring agents to provide a statement

12         of surrender; amending s. 648.45, F.S.;

13         prohibiting the filing of false reports and

14         other actions relating to reports; amending s.

15         648.52, F.S.; increasing an administrative

16         penalty; creating s. 648.525, F.S.; providing

17         for civil administrative proceedings against

18         licensees; amending s. 648.571, F.S.; providing

19         procedures for the return of collateral;

20         authorizing certain fees; providing a penalty;

21         amending ss. 624.501, 624.523, F.S.;

22         eliminating references to runners; repealing s.

23         648.37, F.S., relating to qualifications of

24         runners; providing severability; providing an

25         effective date.

26

27  Be It Enacted by the Legislature of the State of Florida:

28

29         Section 1.  Section 648.24, Florida Statutes, is

30  created to read:

31


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  1         648.24  Declaration of public policy.--It is the public

  2  policy of this state and the intent of the Legislature that a

  3  bond for which fees or premiums are charged must be executed

  4  by a bail bond agent licensed pursuant to chapter 648 in

  5  connection with the pretrial or appellate release of a

  6  criminal defendant and shall be construed as a commitment by

  7  and obligation upon the bail bond agent to ensure that the

  8  defendant appears at all subsequent criminal proceedings.

  9         Section 2.  Section 648.25, Florida Statutes, is

10  amended to read:

11         648.25  Definitions.--As The following words when used

12  in this chapter, the term have the meanings respectively

13  ascribed to them in this section:

14         (1)  "Bail bond agency" means:

15         (a)  The building where a licensee maintains an office

16  and where all records required by ss. 648.34 and 648.36 are

17  maintained; or

18         (b)  An entity that:

19         1.  Charges a fee or premium to release an accused

20  defendant or detainee from jail; or

21         2.  Engages in or employs others to engage in any

22  activity that may be performed only by a licensed and

23  appointed bail bond agent.

24         (2)(1)  "Bail bond agent" means a limited surety agent

25  or a professional bail bond agent as hereafter defined.

26         (3)(2)  "Department" means the Department of Insurance.

27         (4)(3)  "Managing general agent" means any individual,

28  partnership, association, or corporation appointed or employed

29  by an insurer to supervise or manage the bail bond business

30  written in this state by limited surety agents appointed by

31  the insurer.


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  1         (5)(4)  "Insurer" means any domestic, foreign, or alien

  2  surety company which has been authorized to transact surety

  3  business in this state.

  4         (5)  "Agency" means any business location at which a

  5  licensed and appointed bail bond agent engages in any activity

  6  or employs individuals to engage in any activity which by law

  7  may be performed only by a licensed and appointed bail bond

  8  agent.

  9         (6)  "Limited surety agent" means any individual

10  appointed by an insurer by power of attorney to execute or

11  countersign bail bonds in connection with judicial proceedings

12  who receives or is promised money or other things of value

13  therefor.

14         (7)  "Primary bail bond agent" means a licensed bail

15  bond agent who is responsible for the overall operation and

16  management of a bail bond agency location and whose

17  responsibilities include hiring and supervising all

18  individuals within that location. A bail bond agent may be

19  designated as primary bail bond agent for only one bail bond

20  agency location.

21         (8)(7)  "Professional bail bond agent" means any person

22  who pledges United States currency, United States postal money

23  orders, or cashier's checks as security for a bail bond in

24  connection with a judicial proceeding and receives or is

25  promised therefor money or other things of value.

26         (8)  "Runner" means a person employed by a bail bond

27  agent, insurer, or managing general agent for the purpose of

28  assisting the bail bond agent in presenting the defendant in

29  court when required or employed by the bail bond agent to

30  assist in the apprehension and surrender of the defendant to

31  the court or keeping the defendant under necessary


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  1  surveillance.  This does not affect the right of a bail bond

  2  agent or insurer to hire counsel or to obtain the assistance

  3  of law enforcement officers.

  4         (9)  "Temporary bail bond agent" means a person

  5  employed by a bail bond agent or agency, insurer, or managing

  6  general agent, and such licensee has shall have the same

  7  authority as conferred and authorized by law upon a licensed

  8  bail bond agent, including which shall include presenting

  9  defendants in court;, apprehending, arresting, and

10  surrendering defendants to the proper authorities, while

11  accompanied by a supervising bail bond agent or an agent from

12  the same agency; and keeping defendants under necessary

13  surveillance.; However, a temporary licensee may not shall not

14  have the authority to execute or sign bonds, handle collateral

15  receipts, or deliver bonds to appropriate authorities. A

16  temporary licensee may not operate an agency or branch agency

17  separate from the location of the supervising bail bond agent,

18  managing general agent, or insurer by whom the licensee is

19  employed. This does not affect the right of a bail bond agent

20  or insurer to hire counsel or to obtain the assistance of law

21  enforcement officers.

22         Section 3.  Subsection (8) of section 648.27, Florida

23  Statutes, is amended to read:

24         648.27  Licenses and appointments; general.--

25         (8)  An application for a managing general agent's

26  license must be made by an insurer who proposes to employ or

27  appoint an individual, partnership, association, or

28  corporation as a managing general agent. Such application

29  shall contain the information required by s. 626.744, and the

30  applicant shall pay the same fee as a managing general agent

31  licensed pursuant to that section. An individual who is a


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  1  managing general agent must also be licensed as a bail bond

  2  agent. In the case of an entity, at least one owner, officer,

  3  or director at each office location must be licensed as a bail

  4  bond agent.

  5         Section 4.  Section 648.285, Florida Statutes, is

  6  created to read:

  7         648.285  Bond agency; ownership requirements.--

  8         (1)  A person may not own, control, or otherwise have a

  9  pecuniary interest in a bailbond agency unless such individual

10  is a licensed and appointed bail bond agent. Any agency that

11  is not in compliance with this subsection shall be subject to

12  the issuance of an immediate final order of suspension of all

13  operations until the agency achieves compliance.

14         (2)  If the owner of a bail bond agency dies or becomes

15  mentally incapacitated, a personal representative or legal

16  guardian may be issued a temporary permit to manage the

17  affairs of the bail bond agency. Such person must appoint or

18  maintain the appointment of a primary bail bond agent, as

19  provided in s. 648.387, and may not engage in any activities

20  as a licensed bail bond agent but must comply with s. 648.387

21  during the administration of the estate or guardianship. A

22  temporary permit is valid for a maximum of 24 months.

23         (3)  Application for a temporary permit must be made by

24  the personal representative or legal guardian upon statements

25  and affidavits filed with the department on forms prescribed

26  and furnished by it. The applicant must meet the

27  qualifications for licensure as a bail bond agent, except for

28  the residency, examination, education, and experience

29  requirements.

30         Section 5.  Section 648.29, Florida Statutes, is

31  amended to read:


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  1         648.29  Build-up funds posted by bail bond agent.--

  2         (1)  All build-up funds pledged to indemnify an insurer

  3  which are posted by a bail bond agent or agency or managing

  4  general agent, either with the insurer or managing general

  5  agent representing such insurer, must be held maintained in an

  6  individual build-up trust account for the bail bond agent or

  7  agency by the insurer or the managing general agent in a

  8  FDIC-approved or FSLIC-approved bank or savings and loan

  9  association in this state, jointly in the name of the bail

10  bond agent or agency and the insurer surety or managing

11  general agent or in trust for the bail bond agent or agency by

12  the insurer. Such account must remain surety or managing

13  general agent and is open to inspection and examination by the

14  department at all times. An accounting of all such funds shall

15  be maintained which designates the amounts collected on each

16  bond written.

17         (2)  Build-up funds may not exceed 40 percent of the

18  premium as established by the agent's contract agreement with

19  the insurer or managing general agent.  Build-up funds

20  received shall be immediately deposited to the build-up trust

21  account.  Interest on such accounts shall accrue to the bail

22  bond agent.

23         (3)  Build-up funds are maintained as a trust fund

24  created on behalf of a bail bond agent or agency, held by the

25  insurer in a fiduciary capacity to be used to indemnify the

26  insurer for losses and any other agreed-upon costs related to

27  a bail bond executed by the agent. The build-up funds are the

28  sole property of the agent or agency. Upon termination of the

29  bail bond agency or agent's contract and discharge of open

30  bond liabilities on the bonds written, build-up funds are due

31


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  1  and payable to the bail bond agent or agency not later than 6

  2  months after final discharge of the open bond liabilities.

  3         (4)  Each insurer authorized to write bail bonds in

  4  this state and each managing general agent must furnish to the

  5  department a certified copy of a statement listing each

  6  build-up trust account and the balance therein by March 1 of

  7  each year.

  8         (5)  Insurers must provide copies of build-up fund

  9  account bank statements to their agents and agencies.

10         Section 6.  Section 648.30, Florida Statutes, is

11  amended to read:

12         648.30  Licensure and appointment required.--

13         (1)  A person may not act in the capacity of a bail

14  bond agent or, temporary bail bond agent, or runner or perform

15  any of the functions, duties, or powers prescribed for bail

16  bond agents or temporary bail bond agents runners under this

17  chapter unless that person is qualified, licensed, and

18  appointed as provided in this chapter.

19         (2)  A No person may not shall represent himself or

20  herself to be a bail enforcement agent, bounty hunter, or

21  other similar title in this state.

22         (3)  A No person, other than a certified law

23  enforcement officer, may not shall be authorized to apprehend,

24  detain, or arrest a principal on a bond, wherever issued,

25  unless that person is qualified, licensed, and appointed as

26  provided in this chapter or licensed as a bail bond agent or

27  bail bond enforcement agent, or holds an equivalent license by

28  the state where the bond was written.

29         (4)  Any person who violates any provision of this

30  section commits a felony of the third degree, punishable as

31  provided in s. 775.082, s. 775.083, or s. 775.084.


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  1         Section 7.  Section 648.31, Florida Statutes, is

  2  amended to read:

  3         648.31  Appointment taxes and fees.--The department

  4  shall collect in advance all appointment taxes and fees for

  5  the issuance of any appointment to a bail bond agent or,

  6  temporary bail bond agent, or runner, as provided in s.

  7  624.501.

  8         Section 8.  Paragraphs (a) and (b) of subsection (2) of

  9  section 648.34, Florida Statutes, are amended to read:

10         648.34  Bail bond agents; qualifications.--

11         (2)  To qualify as a bail bond agent, it must

12  affirmatively appear at the time of application and throughout

13  the period of licensure that the applicant has complied with

14  the provisions of s. 648.355 and has obtained a temporary

15  license pursuant to such section and:

16         (a)  The applicant is a natural person who has reached

17  the age of 18 years and holds a high school diploma or its

18  equivalent.

19         (b)  The applicant is a United States citizen or legal

20  alien and a bona fide resident of this state. An individual

21  who is a bona fide resident of this state shall be deemed to

22  meet the residence requirement of this paragraph,

23  notwithstanding the existence, at the time of application for

24  license, of a license in the applicant's name on the records

25  of another state as a resident licensee of such other state,

26  if the applicant furnishes a letter of clearance satisfactory

27  to the department that his or her resident licenses have been

28  canceled or changed to a nonresident basis and that he or she

29  is in good standing.

30         Section 9.  Subsections (1), (3), (6), and (8) of

31  section 648.355, Florida Statutes, are amended to read:


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  1         648.355  Temporary limited license as limited surety

  2  agent or professional bail bond agent; pending examination.--

  3         (1)  The department may, in its discretion, issue a

  4  temporary license as a limited surety agent or professional

  5  bail bond agent, subject to the following conditions:

  6         (a)  The applicant is a natural person at least 18

  7  years of age and holds a high school diploma or its

  8  equivalent.

  9         (b)  The applicant is a United States citizen or legal

10  alien and a bona fide resident of this state. An individual

11  who is a bona fide resident of this state shall be deemed to

12  meet the residence requirement of this paragraph,

13  notwithstanding the existence, at the time of application for

14  temporary license, of a license in the individual's name on

15  the records of another state as a resident licensee of such

16  other state, if the applicant furnishes a letter of clearance

17  satisfactory to the department that the individual's resident

18  licenses have been canceled or changed to a nonresident basis

19  and that the individual is in good standing.

20         (c)  The applicant is a person of high character and

21  approved integrity and has never been convicted of or pleaded

22  guilty or no contest to a felony, a crime involving moral

23  turpitude, or a crime punishable by imprisonment of 1 year or

24  more under the law of any state, territory, or country,

25  whether or not a judgment or conviction is entered.

26         (d)  Within 4 years prior to the date of application

27  for a temporary license, the applicant has successfully

28  completed a basic certification course in the criminal justice

29  system, consisting of not less than 120 80 hours of classroom

30  instruction with a passing grade of 80 percent or higher and

31


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  1  has successfully completed a correspondence course for bail

  2  bond agents approved by the department.

  3         (e)  The applicant must be employed at the time of

  4  licensure application, and at all times throughout the

  5  existence of the temporary license, by only one licensed and

  6  appointed supervising bail bond agent, managing general agent,

  7  or authorized insurer, who supervises the work of the

  8  applicant and is responsible for the licensee's conduct in the

  9  bail bond business. The applicant must be appointed by the

10  same insurers as the supervising bail bond agent. The

11  supervising bail bond agent shall certify monthly to the

12  department under oath, on a form prescribed by the department,

13  the names and hours worked each week of all temporary bail

14  bond agents. Filing a false certification is grounds for the

15  immediate suspension of the license and imposition of a $5,000

16  administrative fine.

17         (f)  The application must be accompanied by an

18  affidavit verifying proposed a certificate of employment and a

19  report as to the applicant's integrity and moral character on

20  a form prescribed by the department and executed by the

21  proposed employer.

22         (g)  The applicant must shall file with the department

23  statements by a least three reputable citizens who are

24  residents of the same counties in which the applicant proposes

25  to engage as a temporary licensee.

26         (h)  The applicant's employer is responsible for the

27  bail bonding acts of any licensee under this section.

28         (3)  The temporary license shall be effective for 18

29  months a period of 1 year, subject to earlier termination at

30  the request of the employer or if suspended or revoked by the

31  department.


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  1         (6)  After licensure as a temporary licensee for at

  2  least 12 6 months, such licensee may file an application for

  3  and become eligible for a regular bail bond agent's license

  4  based on the licensee's experience in the bail bond business

  5  and education pursuant to paragraph (1)(d) and, if otherwise

  6  qualified, take the required bail bond agent's licensure

  7  examination. The applicant and supervising bail bond agent

  8  must each file an affidavit under oath, on a form prescribed

  9  by the department, verifying the required employment of the

10  temporary agent before issuance of the license.

11         (8)(a)  A Under the temporary license, the licensee has

12  shall have the same authority as conferred and authorized by

13  the laws of this state upon a licensed bail bond agent,

14  including which shall include presenting defendants in court;,

15  apprehending, arresting, and surrendering defendants to the

16  proper authorities;, and keeping defendants under necessary

17  surveillance.; However, a temporary licensee must be

18  accompanied by a supervising bail bond agent or an agent from

19  the same agency when apprehending, arresting, or surrendering

20  defendants to authorities. however,

21         (b)  A temporary licensee may shall not have the

22  authority to execute or sign bonds, handle collateral

23  receipts, or deliver bonds to appropriate authorities, or. A

24  temporary licensee may not operate an agency or branch agency

25  separate from the location of the supervising bail bond agent,

26  managing general agent, or insurer by whom the licensee is

27  employed.

28         Section 10.  Section 648.36, Florida Statutes, is

29  amended to read:

30         648.36  Bail bond agent's records.--Each licensee Every

31  bail bond agent must maintain in his or her office such


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  1  records of bail bonds executed or countersigned by him or her

  2  to enable the department public to obtain all necessary

  3  information concerning such bail bonds for at least 3 years

  4  after the liability of the surety has been terminated.  Such

  5  records shall be open to examination, inspection, and

  6  photographic reproduction by the department or an authorized

  7  representative of the insurer or managing general agent, or

  8  agents of the department, at all times, and the department may

  9  at any time require the licensee to furnish to it, in such

10  manner or form as it requires, any information concerning the

11  bail bond business of such licensee.

12         Section 11.  Section 648.381, Florida Statutes, is

13  amended to read:

14         648.381  Reexamination.--Any applicant for licensure

15  who has taken an examination and failed to make a passing

16  grade, has failed to appear for the examination, or has failed

17  to take or complete the examination at the time and place

18  specified in the notice of the department may take additional

19  examinations upon the filing of an application for

20  reexamination, with applicable fees. The failure of an

21  applicant to pass an examination or the failure to appear for

22  the examination or to take or complete the examination does

23  not preclude the applicant from taking subsequent

24  examinations. A person who fails an examination three times

25  must retake the 120-hour course and obtain a grade of 80

26  percent or higher before sitting for the examination again.

27         Section 12.  Section 648.382, Florida Statutes, is

28  amended to read:

29         648.382  Appointment of bail bond agents and, temporary

30  bail bond agents, and runners; effective date of

31  appointment.--


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  1         (1)  Each insurer appointing a bail bond agent and each

  2  insurer, managing general agent, or bail bond agent appointing

  3  a temporary bail bond agent or runner in this state must file

  4  the appointment with the department and, at the same time, pay

  5  the applicable appointment fees and taxes.  A person appointed

  6  under this section must hold a valid bail bond agent's or,

  7  temporary bail bond agent's, or runner's license.

  8         (2)  Prior to any appointment, an appropriate officer

  9  or official of the appointing insurer in the case of a bail

10  bond agent or an insurer, managing general agent, or bail bond

11  agent in the case of a temporary bail bond agent or runner,

12  must submit:

13         (a)  A certified statement or affidavit to the

14  department stating what investigation has been made concerning

15  the proposed appointee and the proposed appointee's background

16  and the appointing person's opinion to the best of his or her

17  knowledge and belief as to the moral character, fitness, and

18  reputation of the proposed appointee; and

19         (b)  An affidavit under oath on a form prescribed by

20  the department, signed by the proposed appointee, stating that

21  premiums are not owed to any insurer and that the appointee

22  will discharge all outstanding forfeitures and judgments on

23  bonds previously written. If the appointee does not satisfy or

24  discharge such forfeitures or judgments, the former insurer

25  shall file a notice, with supporting documents, with the

26  appointing insurer, the former agent, and the department,

27  stating under oath that the licensee has failed to timely

28  satisfy forfeitures and judgments on bonds written and that

29  the insurer has satisfied the forfeiture or judgment from its

30  own funds. Upon receipt of such notification and supporting

31  documents, the appointing insurer shall immediately cancel the


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  1  licensee's appointment. The licensee may be reappointed only

  2  upon certification by the former insurer that all forfeitures

  3  and judgments on bonds written by the licensee have been

  4  discharged. The appointing insurer or former agent may, within

  5  10 days, file a petition with the department seeking relief

  6  from this paragraph. Filing of the petition stays the duty of

  7  the appointing insurer to cancel the appointment until the

  8  department grants or denies the petition; and

  9         (c)  Any other information that the department

10  reasonably requires concerning the proposed appointee.

11         (3)  Prior to any appointment of a bail bond agent, the

12  appointing insurer must certify to the department that the

13  insurer will be bound by the acts of the bail bond agent

14  acting within the scope of his or her appointment, and, in the

15  case of a temporary bail bond agent or runner, the appointing

16  insurer, managing general agent, or bail bond agent, as the

17  case may be, must certify to the department that he or she

18  will supervise the temporary bail bond agent's or runner's

19  activities.

20         (4)  Each appointing insurer, managing general agent,

21  or bail bond agent must advise the department in writing

22  within 5 days after receiving notice or learning that an

23  appointee has been arrested for, pled guilty or nolo

24  contendere to, or been found guilty of, a felony or other

25  offense punishable by imprisonment of 1 year or more under the

26  law of any jurisdiction, whether judgment was entered or

27  withheld by the court.

28         (5)  A list of current appointments must be submitted

29  to the department each month but in no case later than 45 days

30  after the date of appointment. All appointments are effective

31  as of the date indicated on the appointment form.


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  1         Section 13.  Section 648.383, Florida Statutes, is

  2  amended to read:

  3         648.383  Renewal, continuation, reinstatement, and

  4  termination of appointment; bail bond agents and runners.--

  5         (1)  The appointment of a bail bond agent or runner

  6  shall continue in force unless suspended, revoked, or

  7  otherwise terminated, subject to a renewal request filed by

  8  the appointing entity in the appointee's birth month and every

  9  24 months thereafter.  A renewal request must be filed with

10  the department along with payment of the renewal appointment

11  fee and taxes as prescribed in s. 624.501.

12         (2)  Each appointing person must file with the

13  department the lists, statement, and information as to each

14  bail bond agent or runner whose appointment is being renewed,

15  accompanied by payment of the applicable renewal fees and

16  taxes as prescribed in s. 624.501, by a date established by

17  the department following the month during which the

18  appointment will expire.

19         (3)  An appointment may be renewed by the department

20  without penalty if the information required under subsection

21  (2) is received by the department on or prior to the date

22  established by the department for renewal, and such

23  appointment is effective on the day the appointment was

24  scheduled to expire.

25         (4)  If the information required under subsection (2)

26  is received by the department after the date established by

27  the department for renewal, the appointment may be renewed by

28  the department if an additional appointment, continuation, and

29  reinstatement fee accompanies the application as required

30  under s. 624.501.

31


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  1         Section 14.  Section 648.384, Florida Statutes, is

  2  amended to read:

  3         648.384  Effect of expiration of appointment; bail bond

  4  agents and runners.--

  5         (1)  Upon the expiration of any person's appointment as

  6  provided in s. 648.383, such person is without any authority

  7  to engage or attempt to engage in any activity requiring such

  8  appointment.

  9         (2)  If a bail bond agent fails to maintain an

10  appointment with an insurer or if a runner fails to maintain

11  an appointment with an insurer, managing general agent, or

12  bail bond agent during any 48-month period, the bail bond

13  agent or runner may not be granted a reappointment until he or

14  she qualifies as a first-time applicant.

15         Section 15.  Paragraph (a) of subsection (2) of section

16  648.385, Florida Statutes, is amended to read:

17         648.385  Continuing education required; application;

18  exceptions; requirements; penalties.--

19         (2)(a)  For compliance dates beginning in January 1997

20  and thereafter, Each person subject to the provisions of this

21  chapter must complete a minimum of 14 hours of continuing

22  education courses every 2 years in courses approved by the

23  department. Compliance with continuing education requirements

24  is a condition precedent to the issuance, continuation, or

25  renewal of any appointment subject to the provisions of this

26  chapter.

27         Section 16.  Paragraph (a) of subsection (1) and

28  paragraph (b) of subsection (4) of section 648.386, Florida

29  Statutes, are amended to read:

30         648.386  Qualifications for prelicensing and continuing

31  education schools and instructors.--


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  1         (1)  SCHOOLS AND CURRICULUM FOR PRELICENSING

  2  SCHOOLS.--In order to be considered for approval and

  3  certification as an approved limited surety agent and

  4  professional bail bond agent prelicensing school, such entity

  5  must:

  6         (a)1.  Offer a minimum of two 120-hour

  7  classroom-instruction 80-hour classroom instruction basic

  8  certification courses in the criminal justice system per

  9  calendar year unless a reduced number of course offerings per

10  calendar year is warranted in accordance with rules

11  promulgated by the department; or

12         2.  Offer a department-approved correspondence course

13  pursuant to department rules.

14         (4)  INSTRUCTOR'S DUTIES AND QUALIFICATIONS.--

15         (b)  In order to obtain department approval as a

16  supervising instructor, the following qualifications must be

17  met:

18         1.  During the past 15 10 years, the person must have

19  had at least 10 5 years' experience as a manager or officer of

20  a managing general agent in this state as prescribed in s.

21  648.388;

22         2.  During the past 15 10 years, the person must have

23  had at least 10 5 years' experience as a manager or officer of

24  an insurance company authorized to and actively engaged in

25  underwriting bail in this state, provided there is a showing

26  that the manager's or officer's experience is directly related

27  to the bail bond industry; or

28         3.  The person has been a licensed bail bond agent in

29  this state for at least 10 years.

30         Section 17.  Section 648.387, Florida Statutes, is

31  created to read:


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  1         648.387  Primary bail bond agents; duties.--

  2         (1)  The owner or operator of a bail bond agency shall

  3  designate a primary bail bond agent for each location, and

  4  shall file with the department the name and license number of

  5  the person and the address of the location on a form approved

  6  by the department. The designation of the primary bail bond

  7  agent may be changed if the department is notified

  8  immediately. Failure to notify the department within 10

  9  working days after such change is grounds for disciplinary

10  action pursuant to s. 648.45.

11         (2)  The primary bail bond agent is responsible for the

12  overall operation and management of a bail bond agency

13  location, whose responsibilities may include, without

14  limitations, hiring and supervising of all individuals within

15  the location, whether they deal with the public in the

16  solicitation or negotiation of bail bond contracts or in the

17  collection or accounting of moneys. A person may be designated

18  as primary bail bond agent for only one location.

19         (3)  The department may suspend or revoke the license

20  of the owner, operator, and primary bail bond agent if a bail

21  bond agency employs, contracts with, or uses the services of a

22  person who has had a license denied or whose license is

23  currently suspended or revoked. However, a person who has been

24  denied a license for failure to pass a required examination

25  may be employed to perform clerical or administrative

26  functions for which licensure is not required.

27         (4)  An owner, operator, or primary agent may not

28  employ, contract with, or use the services of any person in a

29  bail bond agency who has been charged with, found guilty of,

30  or pled guilty or nolo contendere to a felony or a crime

31  punishable by imprisonment of 1 year or more under the law of


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  1  any jurisdiction, without regard to whether judgment was

  2  entered or withheld by the court.

  3         (5)  A bail bond agency location may not conduct surety

  4  business unless a primary bail bond agent is designated at all

  5  times. The failure to designate a primary agent on a form

  6  prescribed by the department, within 10 working days after an

  7  agency's inception or a change of primary agent, is a

  8  violation of this chapter, punishable as provided in s.

  9  648.45.

10         Section 18.  Section 648.388, Florida Statutes, is

11  amended to read:

12         648.388  Insurer must appoint managing general

13  agent.--Any insurer regularly engaged in the execution of bail

14  bonds in this state shall have a managing general agent in

15  this state to supervise its agents. Upon the appointment of a

16  managing general agent, the insurer shall file with the

17  department an affidavit under oath, executed by the appointee,

18  certifying that the appointee does not owe any unpaid premiums

19  to any insurer and does not have any unpaid judgments or

20  forfeitures in any state. A managing general agent shall

21  maintain an office in this state and maintain all records

22  relating to bonds issued in this state.

23         Section 19.  Section 648.39, Florida Statutes, is

24  amended to read:

25         648.39  Termination of appointment of managing general

26  agents, bail bond agents, and temporary bail bond agents, and

27  runners.--

28         (1)  An insurer who terminates the appointment of a

29  managing general agent, bail bond agent, or temporary bail

30  bond agent, or runner shall, within 10 days after such

31  termination, file written notice thereof with the department


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  1  together with a statement that it has given or mailed notice

  2  to the terminated agent managing general agent, bail bond

  3  agent, temporary bail bond agent, or runner. Such notice filed

  4  with the department must state the reasons, if any, for such

  5  termination.  Information so furnished the department is

  6  confidential and exempt from the provisions of s. 119.07(1).

  7         (2)  Each insurer shall, within 5 days after

  8  terminating the appointment of any managing general agent,

  9  bail bond agent, or temporary bail bond agent, or runner, give

10  written notice thereof to each clerk of the circuit court and

11  sheriff with whom such person is registered.

12         (3)  An insurer that terminates the appointment of a

13  managing general agent, bail bond agent, or temporary bail

14  bond agent, or runner may authorize such person to continue to

15  attempt the arrest and surrender of a defendant for whom a

16  surety bond had been written by the bail bond agent prior to

17  termination and to seek discharge of forfeitures and judgments

18  as provided in chapter 903.

19         Section 20.  Section 648.41, Florida Statutes, is

20  amended to read:

21         648.41  Termination of appointment of temporary bail

22  bond agents or runners.--A bail bond agent, insurer, or

23  managing general agent terminating the appointment of a

24  temporary bail bond agent or runner must, within 10 days, file

25  written notice thereof with the department, together with a

26  statement that notice has been given or mailed to the

27  temporary bail bond agent or runner. Such notice filed with

28  the department shall state the reasons, if any, for such

29  termination.  Information so furnished the department is

30  confidential and exempt from the provisions of s. 119.07(1).

31


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  1         Section 21.  Section 648.44, Florida Statutes, is

  2  amended to read:

  3         648.44  Prohibitions; penalty.--

  4         (1)  A bail bond agent or, temporary bail bond agent,

  5  or runner may not:

  6         (a)  Suggest or advise the employment of, or name for

  7  employment, any particular attorney to represent his or her

  8  principal.

  9         (b)  Directly or indirectly solicit business in or on

10  the property or grounds of a jail, prison, or other place

11  where prisoners are confined or in or on the property or

12  grounds of any court. The term "solicitation" includes the

13  distribution of business cards, print advertising, or other

14  written or oral information directed to prisoners or potential

15  indemnitors, unless a request is initiated by the prisoner or

16  a potential indemnitor. Permissible print advertising in the

17  jail is strictly limited to a listing in a telephone directory

18  and the posting of the bail bond agent's or agency's name,

19  address, and telephone number in a designated location within

20  the jail.

21         (c)  Initiate in-person or telephone solicitation after

22  9:00 p.m. or before 8:00 a.m., in the case of domestic

23  violence cases, at the residence of the detainee or the

24  detainee's family. Any solicitation not prohibited by this

25  chapter must comply with the telephone solicitation

26  requirements in ss. 501.059(2) and (4), 501.613, and

27  501.616(6).

28         (d)(c)  Wear or display any identification other than

29  the department issued or approved license or approved

30  department identification, which includes a citation of the

31  licensee's arrest powers, in or on the property or grounds of


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  1  a jail, prison, or other place where prisoners are confined or

  2  in or on the property or grounds of any court.

  3         (e)(d)  Pay a fee or rebate or give or promise anything

  4  of value to a jailer, police officer, peace officer, or

  5  committing magistrate or any other person who has power to

  6  arrest or to hold in custody or to any public official or

  7  public employee in order to secure a settlement, compromise,

  8  remission, or reduction of the amount of any bail bond or

  9  estreatment thereof.

10         (f)(e)  Pay a fee or rebate or give anything of value

11  to an attorney in a bail bond matter, except in defense of any

12  action on a bond.

13         (g)(f)  Pay a fee or rebate or give or promise anything

14  of value to the principal or anyone in his or her behalf.

15         (h)(g)  Participate in the capacity of an attorney at a

16  trial or hearing of one on whose bond he or she is surety.

17         (i)(h)  Loiter in or about a jail, courthouse, or where

18  prisoners are confined.

19         (j)(i)  Accept anything of value from a principal for

20  providing a bail bond except the premium and transfer fee

21  authorized by the department, except that the bail bond agent

22  may accept collateral security or other indemnity from the

23  principal or another person in accordance with the provisions

24  of s. 648.442, together with documentary stamp taxes, if

25  applicable. No fees, expenses, or charges of any kind shall be

26  permitted to be deducted from the collateral held or any

27  return premium due, except as authorized by this chapter or

28  rule of the department. A bail bond agent may, upon written

29  agreement with another party, receive a fee or compensation

30  for returning to custody an individual who has fled the

31  jurisdiction of the court or caused the forfeiture of a bond.


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  1         (k)(j)  Write more than one power of attorney per

  2  charge on a bond, except in the case of a cosurety, unless the

  3  power of attorney prohibits a cosurety.

  4         (l)(k)  Execute a bond in this state on his or her own

  5  behalf.

  6         (m)(l)  Execute a bond in this state if a judgment has

  7  been entered on a bond executed by the bail bond agent, which

  8  has remained unpaid for 35 days, unless the full amount of the

  9  judgment is deposited with the clerk in accordance with s.

10  903.27(5).

11         (n)(m)  Make a statement or representation to a court,

12  unless such statement or representation is under oath.  Such

13  statement or representation may not be false, misleading, or

14  deceptive.

15         (o)  Attempt to collect, through threat or coercion,

16  amounts due for the payment of any indebtedness related to the

17  issuance of a bail bond in violation of s. 559.72.

18         (p)  Conduct bail bond business with any person, other

19  than the defendant, on the grounds of the jail or courthouse

20  for the purpose of executing a bond.

21         (2)  The following persons or classes shall not be bail

22  bond agents, temporary bail bond agents, runners, or employees

23  of a bail bond agent or a bail bond business and shall not

24  directly or indirectly receive any benefits from the execution

25  of any bail bond:

26         (a)  Jailers or persons employed in any jail.

27         (b)  Police officers or employees of any police

28  department or law enforcement agency.

29         (c)  Committing magistrates, employees of a court, or

30  employees of the clerk of any court.

31


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  1         (d)  Sheriffs and deputy sheriffs or employees of any

  2  sheriff's department.

  3         (e)  Attorneys.

  4         (f)  Persons having the power to arrest or persons who

  5  have authority over or control of federal, state, county, or

  6  municipal prisoners.

  7         (3)  A bail bond agent may not sign or countersign in

  8  blank any bond, give a power of attorney to, or otherwise

  9  authorize, anyone to countersign his or her name to bonds

10  unless the person so authorized is a licensed and appointed

11  bail bond agent directly employed by the bail bond agent

12  giving such power of attorney.

13         (4)  A place of business, including a branch office,

14  may not be established, opened, or maintained unless it is

15  under the active full-time charge of a licensed and appointed

16  bail bond agent.

17         (5)  Except as between licensed and appointed bail bond

18  agents, a bail bond agent may not divide with others, or share

19  in, any commissions payable on account of any bail bond.

20         (6)(a)  No bail bond agency shall advertise as or hold

21  itself out to be a bail bond or surety company.

22         (b)  Any misleading or false advertisement or deceptive

23  trade practice is prohibited as provided in part IX of chapter

24  626.

25         (c)  The advertisement of reduced premium rates is

26  prohibited.

27         (d)  After October 1, 2002, a bail bond agency may not

28  use a name that implies a reduced rate of premium.

29         (e)1.  A bail bond agent may not make material

30  misrepresentations or omissions in statements or use

31  advertisements that constitute material misrepresentations of


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  1  facts, create unjust expectations concerning services, or make

  2  improper comparisons.

  3         2.  Bail bond agents may not own or advertise under

  4  firm names that are false, misleading, or deceptive, or use

  5  trade names that imply a connection with any government

  6  agency.

  7         3.  A bail bond agent may not use any advertisement or

  8  advertise under any name that includes the word "free".

  9         4.  A bail bond agent may not advertise under a trade

10  name unless the name and address appears on the agent's

11  letterhead or business cards. Such name must be registered

12  with the department.

13         (7)  Any permissible advertising by a bail bond agent

14  or agency must include the address of record filed with the

15  department.

16         (8)(a)  A person who has been convicted of or who has

17  pleaded guilty or no contest to a felony or a crime involving

18  moral turpitude or a crime punishable by imprisonment of 1

19  year or more under the law of any state, territory, or

20  country, regardless of whether adjudication of guilt was

21  withheld, may not act in any capacity for a bail bond agency

22  or participate as a director, officer, manager, agent,

23  contractor, or employee of any bail bond agency or office

24  thereof or exercise direct or indirect control in any manner

25  in such agency or office or own shares in any closely held

26  corporation which has any interest in any bail bond business.

27  Such restrictions on engaging in the bail bond business shall

28  continue to apply during a pending appeal.

29         (b)  Any person who violates the provisions of

30  paragraph (a) or any person who knowingly permits a person who

31  has been convicted of or who has pleaded guilty or no contest


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  1  to a crime as described in paragraph (a) to engage in the bail

  2  bond business as prohibited in paragraph (a) commits a felony

  3  of the third degree, punishable as provided in s. 775.082, s.

  4  775.083, or s. 775.084.

  5         (c)  Any law enforcement agency, state attorney's

  6  office, court clerk, or insurer that is aware that a bail bond

  7  agent or, temporary bail bond agent, or runner has been

  8  convicted of or who has pleaded guilty or no contest to a

  9  crime as described in paragraph (a) shall notify the

10  department of this fact.

11         (d)  Upon the filing of an information or indictment

12  against a bail bond agent or, temporary bail bond agent, or

13  runner, the state attorney or clerk of the circuit court shall

14  immediately furnish the department a certified copy of the

15  information or indictment.

16         (9)(a)  Any person who violates any provisions of

17  paragraph (1)(d), paragraph (1)(e), paragraph (1)(f),

18  paragraph (1)(g), paragraph (1)(j) (1)(i), or paragraph (1)(n)

19  (1)(m), or subsection (2) commits a felony of the third

20  degree, punishable as provided in s. 775.082, s. 775.083, or

21  s. 775.084.

22         (b)  Any person who violates the provisions of

23  paragraph (1)(a), paragraph (1)(b), paragraph (1)(c),

24  paragraph (1)(h) (1)(g), paragraph (1)(k) (1)(j), or paragraph

25  (1)(m) (1)(l), paragraph (1)(o), paragraph (1)(p), subsection

26  (3), subsection (4), or subsection (5) commits a misdemeanor

27  of the first degree, punishable as provided in s. 775.082 or

28  s. 775.083.

29         Section 22.  Section 648.441, Florida Statutes, is

30  amended to read:

31


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  1         648.441  Furnishing supplies to unlicensed bail bond

  2  agent prohibited; civil liability and penalty.--

  3         (1)  An insurer, managing general agent, bail bond

  4  agent, or temporary bail bond agent, or runner appointed under

  5  this chapter may not furnish to any person any blank forms,

  6  applications, stationery, business card, or other supplies to

  7  be used in soliciting, negotiating, or effecting bail bonds

  8  until such person has received from the department a license

  9  to act as a bail bond agent and is appointed by the insurer.

10  This section does not prohibit an unlicensed employee, under

11  the direct supervision and control of a licensed and appointed

12  bail bond agent, from possessing or executing in the bail bond

13  agency, any forms, except for powers of attorney, bond forms,

14  and collateral receipts, while acting within the scope of his

15  or her employment.

16         (2)  Any insurer, licensee, or appointee who furnishes

17  to any bail bond agent or other person not named or appointed

18  by the insurer represented any of the supplies mentioned in

19  subsection (1) and accepts any bail bond business from or

20  writes any bail bond business for such bail bond agent,

21  person, or agency is subject to civil liability to any insured

22  of such insurer or indemnitor to the same extent and in the

23  same manner as if such bail bond agent or other person had

24  been appointed or authorized by the insurer, managing general

25  agent, or bail bond agent to act in its or his or her behalf

26  by the department.

27         (3)  Any person who violates this section commits a

28  misdemeanor of the first degree, punishable as provided in s.

29  775.082 or s. 775.083, except that the violator is subject to

30  a fine not to exceed $5,000 in addition to, or in lieu of, any

31  term of imprisonment.


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  1         Section 23.  Section 648.442, Florida Statutes, is

  2  amended to read:

  3         648.442  Collateral security.--

  4         (1)  Collateral security or other indemnity accepted by

  5  a bail bond agent, except a promissory note or an indemnity

  6  agreement, shall be returned upon final termination of

  7  liability on the bond. Such collateral security or other

  8  indemnity required by the bail bond agent must be reasonable

  9  in relation to the amount of the bond. Collateral security may

10  not be used by the bail bond agent for personal benefit or

11  gain and must be returned in the same condition as received.

12  A bail bond agent may accept collateral security in excess of

13  $50,000 cash per bond, provided any amount over $50,000 cash

14  is payable to the insurer in the form of a cashier's check,

15  United States postal money order, certificates of deposit, or

16  wire transfer and is remitted to and held by the insurer. A

17  copy of IRS Form 8300 must be retained as part of the

18  defendant's file if it is otherwise required. A quit-claim

19  deed for property may not be taken as collateral. Other

20  acceptable forms of security or indemnity may consist of the

21  following:

22         (a)  A promissory note;

23         (b)  An indemnity agreement;

24         (c)  A real property mortgage in the name of the

25  insurer;

26         (d)  Any Uniform Commercial Code filing; or

27         (e)  Any other type of security approved by the

28  department. The department may approve other security only if,

29  after considering the liquidity and other characteristics of

30  the security, it determines that the security is of a type

31  which increases the probability that the defendant will in


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  1  fact appear in court or increases the probability that the

  2  defendant will be subsequently apprehended by the bail bond

  3  agent.

  4         (2)  When a bail bond agent accepts collateral, a

  5  written, numbered receipt shall be given, and this receipt

  6  shall give in detail a full account of the collateral

  7  received.  The bail bond agent shall also give copies of

  8  documents rendered under subsection (1) to the indemnitor.

  9         (3)  Such Collateral security shall be received and

10  held in the insurer's name by the bail bond agent in a

11  fiduciary capacity and, prior to any forfeiture of bail, shall

12  be kept separate and apart from any other funds or assets of

13  such bail bond agent.  When collateral security in excess of

14  $5,000 cash or its equivalent is received by a bail bond

15  agent, the entire amount shall be immediately forwarded to the

16  insurer or managing general agent.  Such collateral security

17  may be placed in an interest-bearing account to accrue to the

18  benefit of the person giving the collateral security, and the

19  bail bond agent, insurer, or managing general agent may not

20  make any pecuniary gain on the collateral security deposited.

21  Any such account shall be in a depository office of a

22  financial institution located in this state. The insurer shall

23  be liable for all collateral received. If the bail bond agent

24  or managing general agent fails to return the collateral to

25  the indemnitor upon final termination of liability on the

26  bond, the surety shall be liable for the collateral and shall

27  return the actual collateral to the indemnitor or, in the

28  event that the surety cannot locate the collateral, the surety

29  shall pay the indemnitor pursuant to the provisions of this

30  section.

31


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  1         (4)  When the obligation of the surety on the bond or

  2  bonds has been released in writing by the court, the

  3  collateral shall be returned to the rightful owner named in

  4  the collateral receipt unless another disposition is provided

  5  for by legal assignment of the right to receive the collateral

  6  to another person.

  7         (5)  If a forfeiture occurs, the agent or insurer shall

  8  give 10 days' written notice of intent to convert the

  9  collateral deposit into cash to satisfy the forfeiture to the

10  indemnitor and principal.  Notice shall be sent by certified

11  mail to the last known address of the indemnitor and

12  principal.

13         (6)  The bail bond agent or insurer must convert the

14  collateral to cash within a reasonable period of time and

15  return that which is in excess of the face value of the bond

16  minus the actual and reasonable expenses of converting the

17  collateral to cash.  In no event shall these expenses exceed

18  20 10 percent of the face value of the bond.  However, upon

19  motion and proof that the actual, reasonable expenses exceed

20  20 10 percent, the court may allow recovery of the full amount

21  of such actual, reasonable expenses. If there is a remission

22  of a forfeiture, which had required the surety to pay the bond

23  to the court, the surety shall pay to the indemnitor the value

24  of any collateral received for the bond, minus any actual

25  expenses and costs permitted herein.

26         (7)  No bail bond agent or insurer shall solicit or

27  accept a waiver of any of the provisions of this section or

28  enter into any agreement as to the value of the collateral.

29         (8)  Prior to the appointment of a bail bond agent who

30  is currently or was previously appointed by another insurer,

31  the bail bond agent must file with the department a sworn and


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  1  notarized affidavit, on a form prescribed by the department,

  2  stating that:

  3         (a)  There has been no loss, misappropriation,

  4  conversion, or theft of any collateral being held by the agent

  5  in trust for any insurer by which the agent is currently or

  6  was previously appointed; and

  7         (b)  All collateral being held in trust by the agent

  8  and all records for any insurer by which the agent is

  9  currently or was previously appointed are available for

10  immediate audit and inspection by the department, the insurer,

11  or the managing general agent, and will upon demand of the

12  department or insurer be transmitted to the insurer for whom

13  the collateral is being held in trust.

14         (9)(8)  The department shall establish by rule the form

15  of the affidavit and the statement identifying the amount and

16  source of the security as specified in s. 903.14.

17         (10)(9)  An indemnity agreement may not be entered into

18  between a principal and either a surety or any agent of the

19  surety, and an application may not be accepted either by a

20  bail bond agent engaged in the bail bond business or by a

21  surety company for a bail bond in which an indemnity agreement

22  is required between a principal and either a surety or any

23  agent of such surety, unless the indemnity agreement reads as

24  follows:  "For good and valuable consideration, the

25  undersigned principal agrees to indemnify and hold harmless

26  the surety company or its agent for all losses not otherwise

27  prohibited by law or by rules of the Department of Insurance."

28         (11)(10)  Any person who violates this section is

29  guilty of a felony of the third degree, punishable as provided

30  in s. 775.082, s. 775.083, or s. 775.084.

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  1         Section 24.  Section 648.4425, Florida Statutes, is

  2  amended to read:

  3         648.4425  Notice.--

  4         (1)  Upon issuing a bond, the bail bond agent shall

  5  provide to the principal and, if applicable, to the party

  6  rendering collateral or indemnifying the surety principal an

  7  informational notice which shall include:

  8         (a)  A statement noting with particularity the

  9  restrictions, if any, placed on the principal as a condition

10  of the bond;

11         (b)  A statement of the bail bond agent's powers

12  relating to the cancellation of the bond and recommitment of

13  the principal; and

14         (c)  The name, address, and telephone number of the

15  department for complaints or inquiries.

16         (2)  Any bail bond agent that surrenders or recommits a

17  defendant must provide the defendant with a statement of

18  surrender on a department-prescribed form. The statement must

19  be signed by the agent and must state the reason for

20  surrender. The statement must be attached to the surrender

21  form with a copy provided to the defendant and a copy

22  maintained by the agent in the defendant's file.

23         (3)(2)  The department shall prescribe forms to

24  administer this section.

25         Section 25.  Subsection (2) of section 648.45, Florida

26  Statutes, is amended to read:

27         648.45  Actions against a licensee; suspension or

28  revocation of eligibility to hold a license.--

29         (2)  The department shall deny, suspend, revoke, or

30  refuse to renew any license or appointment issued under this

31  chapter or the insurance code, and it shall suspend or revoke


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  1  the eligibility of any person to hold a license or appointment

  2  under this chapter or the insurance code, for any violation of

  3  the laws of this state relating to bail or any violation of

  4  the insurance code or if the person for any of the following

  5  causes:

  6         (a)  Lacks Lack of one or more of the qualifications

  7  specified in this chapter for a license or appointment.

  8         (b)  Has made a material misstatement,

  9  misrepresentation, or fraud in obtaining a license or

10  appointment, or in attempting to obtain a license or

11  appointment.

12         (c)  Has failed Failure to pass any examination

13  required under this chapter.

14         (d)  Has willfully used Willful use, or intended the

15  use, of the license or appointment to circumvent any of the

16  requirements or prohibitions of this chapter or the insurance

17  code.

18         (e)  Has demonstrated lack of fitness or

19  trustworthiness to engage in the bail bond business.

20         (f)  Has demonstrated lack of reasonably adequate

21  knowledge and technical competence to engage in the

22  transactions authorized by the license or appointment.

23         (g)  Has engaged in fraudulent or dishonest practices

24  in the conduct of business under the license or appointment.

25         (h)  Is guilty of misappropriation, conversion, or

26  unlawful withholding of moneys belonging to a surety, a

27  principal, or others and received in the conduct of business

28  under a license.

29         (i)  Is guilty of rebating or offering to rebate, or

30  unlawfully dividing or offering to divide, any commission, in

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  1  the case of a limited surety agent, or premiums, in the case

  2  of a professional bail bond agent.

  3         (j)  Has willfully failed Willful failure to comply

  4  with or willfully violated willful violation of any proper

  5  order or rule of the department or willfully violated willful

  6  violation of any provision of this chapter or the insurance

  7  code.

  8         (k)  Has Having been found guilty of, or has having

  9  pleaded guilty or no contest to a felony, a crime involving

10  moral turpitude, or a crime punishable by imprisonment of 1

11  year or more under the law of any state, territory, or

12  country, whether or not a judgment or conviction has been

13  entered.

14         (l)  Has demonstrated lack of good faith in carrying

15  out contractual obligations and agreements.

16         (m)  Has failed Failure to perform a contractual

17  obligation or agreement with a managing general agent or

18  insurer which results in an unrecovered loss due to nonpayment

19  of a forfeiture or judgment by the licensee.

20         (n)  Has failed Failure to return collateral.

21         (o)1.  Has signed and filed a report or record in the

22  capacity of an agent which the licensee knows to be false or

23  misleading;

24         2.  Has willfully failed to file a report or record

25  required by state or federal law;

26         3.  Has willfully impeded or obstructed such filing; or

27         4.  Has induced another person to impede or obstruct

28  such filing.

29

30  Such reports or records shall include only those that are

31  signed in the capacity of a licensed agent.


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  1         (p)  Has demonstrated a course of conduct or practices

  2  which indicates that the licensee is incompetent, negligent,

  3  or dishonest or that property or rights of clients cannot

  4  safely be entrusted to him or her.

  5         Section 26.  Subsection (1) of section 648.52, Florida

  6  Statutes, is amended to read:

  7         648.52  Administrative fine.--

  8         (1)  If, pursuant to the procedure described in s.

  9  648.46, the department finds that one or more causes exist for

10  the suspension of, revocation of, or refusal to renew or

11  continue any license or appointment issued under this chapter,

12  the department may, in its discretion, in lieu of or in

13  addition to such suspension, revocation, or refusal, and

14  except on a second offense, impose upon the licensee an

15  administrative penalty in an amount up to $5,000 $500 or, if

16  the department has found willful misconduct or willful

17  violation on the part of the licensee, $20,000 $2,500.  The

18  administrative penalty may, in the discretion of the

19  department, be increased by an amount equal to any commissions

20  or other pecuniary benefits received by or accruing to the

21  credit of the licensee in connection with any transaction

22  related to the grounds for suspension, revocation, or refusal.

23         Section 27.  Section 648.525, Florida Statutes, is

24  created to read:

25         648.525  Civil assessment.--

26         (1)  The department may initiate a civil administrative

27  proceeding against a licensee who fails to comply with the

28  solicitation requirements of this chapter.

29         (2)  The burden of proof in such proceedings is by a

30  preponderance of the evidence. Upon a finding that a licensee

31  has failed to properly comply, an assessment of $5,000 shall


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  1  be ordered for each act of improper solicitation which

  2  assessment shall be payable within 30 days after the date of

  3  the final order.

  4         (3)  The civil assessment is a civil remedy for conduct

  5  that harms the consuming public and that is considered an

  6  unfair method of competition, and is not a penalty or

  7  administrative fine. Remedies under this section are in

  8  addition to any other remedies available at law.

  9         Section 28.  Section 648.571, Florida Statutes, is

10  amended to read:

11         648.571  Failure to return collateral; penalty.--

12         (1)  A bail bond agent who has taken collateral or an

13  insurer or managing general agent who holds collateral as

14  security for a bail bond shall, upon demand, make a written

15  request for a discharge of the bond to be delivered to the

16  surety or the surety's agent of the surety. A copy of the

17  written request for discharge must be given to the indemnitor

18  or the person making the request for the collateral, and a

19  copy must be maintained in the agent's file. If a discharge is

20  provided to the surety or the surety's agent of the surety

21  pursuant to chapter 903, the collateral shall be returned to

22  the indemnitor within 21 days after the of said discharge is

23  being provided.

24         (2)  Upon demand, following the written request for

25  discharge and upon diligent inquiry by the surety or the

26  surety's agent of the surety to determine whether that the

27  bond has been discharged, the failure of the court to provide

28  a written discharge to the surety or surety's the agent of the

29  surety pursuant to chapter 903 within 7 days automatically

30  cancels, shall cause the cancellation of the bond, by

31  operation of law and the collateral shall be returned to the


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  1  indemnitor within 21 days after of the written request for

  2  discharge.

  3         (3)(a)  Fees or other charges of any nature other than

  4  those provided as outlined in this chapter or by rule of the

  5  department may not be deducted from the collateral due.

  6         (b)1.  The bail bond agent may charge the credit card

  7  fee imposed in connection with the use of the credit card for

  8  payment of collateral if the fee is clearly shown on the

  9  collateral receipt and is acknowledged by the person tendering

10  the credit card.

11         2.  The prevailing schedule of credit card fees must be

12  conspicuously posted in the lobby of the bail bond agency and

13  a copy must be provided to the person tendering the credit

14  card. However,

15         (c)  Allowable expenses incurred in apprehending a the

16  apprehension of the defendant because of a bond forfeiture of

17  bond or judgment under s. 903.29 may be deducted if such

18  expenses are accounted for. The failure to return collateral

19  under these terms is shall be punishable as follows:

20         1.(1)  If In the event the collateral is of a value of

21  less than $100, as provided in s. 775.082(4)(a).

22         2.(2)  If In the event the collateral is of a value of

23  $100 or more, as provided in s. 775.082(3)(d).

24         3.(3)  If In the event the collateral is of a value of

25  $1,500 or more, as provided in s. 775.082(3)(c).

26         4.  If In the event the collateral is of a value of

27  $10,000 or more, as provided in s. 775.082(3)(b).

28         (4)  In addition to the criminal penalties and any

29  other penalties provided in this chapter, the department shall

30  impose against any person violating this section an

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  1  administrative fine of five times the dollar amount of the

  2  collateral.

  3         Section 29.  Subsection (21) of section 624.501,

  4  Florida Statutes, is amended to read:

  5         624.501  Filing, license, appointment, and

  6  miscellaneous fees.--The department shall collect in advance,

  7  and persons so served shall pay to it in advance, fees,

  8  licenses, and miscellaneous charges as follows:

  9         (21)  Limited surety agent or, professional bail bond

10  agent, or runner as defined in s. 648.25, each agent and each

11  insurer represented. Original appointment and biennial renewal

12  or continuation thereof, each agent or insurer, whichever is

13  applicable:

14         Appointment fee..................................$44.00

15         State tax.........................................24.00

16         County tax........................................12.00

17  Total...................................................$80.00

18         Section 30.  Paragraph (l) of subsection (1) of section

19  624.523, Florida Statutes, is amended to read:

20         624.523  Insurance Commissioner's Regulatory Trust

21  Fund.--

22         (1)  There is created in the State Treasury a trust

23  fund designated "Insurance Commissioner's Regulatory Trust

24  Fund" to which shall be credited all payments received on

25  account of the following items:

26         (l)  All sums received under s. 648.27 s. 648.27(6)

27  (bail bond agent, limited surety agent or runner, continuation

28  fee), the "appointment fee" portion of any license or permit

29  provided for under s. 648.31, and the application fees

30  provided for under ss. 648.34(3) and 648.37(3).

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  1         Section 31.  Section 648.37, Florida Statutes, is

  2  repealed.

  3         Section 32.  If any provision of this act or its

  4  application to any person or circumstance is held invalid, the

  5  invalidity does not affect other provisions or applications of

  6  the act which can be given effect without the invalid

  7  provision or application, and to this end the provisions of

  8  this act are declared severable.

  9         Section 33.  This act shall take effect July 1, 2002.

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