Senate Bill sb2150c1

CODING: Words stricken are deletions; words underlined are additions.
    Florida Senate - 2004                           CS for SB 2150

    By the Committee on Commerce, Economic Opportunities, and
    Consumer Services; and Senator Lynn




    310-2396-04

  1                      A bill to be entitled

  2         An act relating to moving services; amending s.

  3         507.03, F.S.; revising mover registration

  4         requirements; providing for proof of bond or

  5         certificate of deposit in lieu of proof of

  6         insurance coverage; amending s. 507.04, F.S.;

  7         revising requirement to maintain cargo legal

  8         liability coverage; providing for bond or

  9         certificate of deposit in lieu of insurance

10         coverage for a mover operating a certain number

11         of vehicles; limiting use of such bond or

12         certificate of deposit to claims adjudicated by

13         the Department of Agriculture and Consumer

14         Services; providing that aggregate payout by

15         the department for all claims shall not exceed

16         amount of the bond or certificate of deposit;

17         providing an effective date.

18  

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

20  

21         Section 1.  Subsections (1) and (9) of section 507.03,

22  Florida Statutes, are amended to read:

23         507.03  Registration.--

24         (1)  Each mover shall annually register with the

25  department, providing its legal business and trade name,

26  mailing address, and business locations; the full names,

27  addresses, and telephone numbers of its owners or corporate

28  officers and directors and the Florida agent of the

29  corporation; a statement whether it is a domestic or foreign

30  corporation, its state and date of incorporation, its charter

31  number, and, if a foreign corporation, the date it registered

                                  1

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 2004                           CS for SB 2150
    310-2396-04




 1  with the State of Florida, and occupational license where

 2  applicable; the date on which a mover registered its

 3  fictitious name if the mover is operating under a fictitious

 4  or trade name; the name of all other corporations, business

 5  entities, and trade names through which each owner of the

 6  mover operated, was known, or did business as a mover within

 7  the preceding 5 years; and proof of bonding or insurance

 8  coverage as required by this act.

 9         (9)  Each mover shall provide evidence of current and

10  valid insurance coverage or a bond or certificate of deposit

11  as described in s. 507.04.

12         Section 2.  Paragraph (a) of subsection (1) of section

13  507.04, Florida Statutes, is amended to read:

14         507.04  Cargo legal liability valuation and insurance

15  coverage.--

16         (1)  A mover operating in this state shall maintain

17  current and valid cargo legal liability valuation and

18  insurance coverage which includes:

19         (a)1.  For a mover operating three or more vehicles,

20  coverage for cargo legal liability for loss or damage to

21  household goods arising or resulting from the negligence of

22  the mover, its employees, or its agents, in an amount not less

23  than $10,000 per shipment.

24         2.  A mover who operates fewer than three vehicles

25  shall have the option of maintaining the cargo legal liability

26  described in this paragraph or maintaining a performance bond

27  in the amount of $25,000. The surety on such bond shall be a

28  surety company authorized to do business in the state. In lieu

29  of the bond required in this subparagraph, the mover may

30  establish a certificate of deposit in a Florida banking

31  institution in the amount of the bond. The original bond or

                                  2

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 2004                           CS for SB 2150
    310-2396-04




 1  certificate of deposit shall be filed with the department, and

 2  the department shall be the beneficiary to the document. The

 3  bond or certificate of deposit shall be in favor of the

 4  department for the use and benefit of any consumer who is

 5  injured by the fraud, misrepresentation, breach of contract,

 6  or financial failure of the mover, or by the violation of any

 7  provision of this chapter by the mover. Such liability may be

 8  enforced either by proceeding in an administrative action or

 9  by filing a judicial suit at law in a court of competent

10  jurisdiction. However, in such court suit, the bond or

11  certificate of deposit posted with the department shall not be

12  amenable or subject to any judgment or other legal process

13  issuing out of or from such court in connection with such

14  lawsuit, but such bond or certificate of deposit shall be

15  amenable to and enforceable only by and through administrative

16  proceedings before the department. It is the intent of the

17  Legislature that such bond or certificate of deposit shall be

18  applicable and liable only for the payment of claims duly

19  adjudicated by order of the department. The bond or

20  certificate of deposit shall be open to successive claims, but

21  the aggregate amount may not exceed the amount of the bond or

22  certificate of deposit.

23         Section 3.  This act shall take effect upon becoming a

24  law.

25  

26  

27  

28  

29  

30  

31  

                                  3

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 2004                           CS for SB 2150
    310-2396-04




 1          STATEMENT OF SUBSTANTIAL CHANGES CONTAINED IN
                       COMMITTEE SUBSTITUTE FOR
 2                         Senate Bill 2150

 3                                 

 4  The committee substitute removes the option provided under the
    bill for a mover who operates less than three trucks to obtain
 5  a letter of credit in lieu of carrying cargo liability
    insurance, although it retains the option for a mover who
 6  operates less than three trucks to obtain a bond or
    certificate of deposit in lieu of carrying cargo liability
 7  insurance.

 8  

 9  

10  

11  

12  

13  

14  

15  

16  

17  

18  

19  

20  

21  

22  

23  

24  

25  

26  

27  

28  

29  

30  

31  

                                  4

CODING: Words stricken are deletions; words underlined are additions.