Amendment
Bill No. 1697
Amendment No. 651791
CHAMBER ACTION
Senate House
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1Representative(s) Brown offered the following:
2
3     Amendment (with title amendment)
4     Between line 1909 and 1910, insert:
5     Section 57.  Subsection (15) of section 320.77, Florida
6Statutes, is amended to read:
7     320.77  License required of mobile home dealers.--
8     (15)  SURETY BOND, CASH BOND, OR IRREVOCABLE LETTER OF
9CREDIT REQUIRED.--
10     (a)  Before any license shall be issued or renewed, the
11applicant or licensee shall deliver to the department a good and
12sufficient surety bond, cash bond, or irrevocable letter of
13credit, executed by the applicant or licensee as principal and
14by a surety company qualified to do business in the state as
15surety. The bond or irrevocable letter of credit shall be in a
16form to be approved by the department and shall be conditioned
17upon the dealer's complying with the conditions of any written
18contract made by the dealer in connection with the sale,
19exchange, or improvement of any mobile home and his or her not
20violating any of the provisions of chapter 319 or this chapter
21in the conduct of the business for which the dealer is licensed.
22The bond or irrevocable letter of credit shall be to the
23department and in favor of any retail customer who shall suffer
24any loss as a result of any violation of the conditions
25hereinabove contained in this section. The bond or irrevocable
26letter of credit shall be for the license period, and a new bond
27or irrevocable letter of credit or a proper continuation
28certificate shall be delivered to the department at the
29beginning of each license period. However, the aggregate
30liability of the surety in any one license year shall in no
31event exceed the sum of such bond, or, in the case of a letter
32of credit, the aggregate liability of the issuing bank shall not
33exceed the sum of the credit. The amount of the bond required
34shall be as follows:
35     1.  A single dealer who buys, sells, or deals in mobile
36homes and who has four or fewer supplemental licenses shall
37provide a surety bond, cash bond, or irrevocable letter of
38credit executed by the dealer applicant or licensee in the
39amount of $25,000.
40     2.  A single dealer who buys, sells, or deals in mobile
41homes and who has more than four supplemental licenses shall
42provide a surety bond, cash bond, or irrevocable letter of
43credit executed by the dealer applicant or licensee in the
44amount of $50,000.
45
46For the purposes of this paragraph, any person who buys, sells,
47or deals in both mobile homes and recreational vehicles shall
48provide the same surety bond required of dealers who buy, sell,
49or deal in mobile homes only.
50     (b)  Surety bonds shall be executed by a surety company
51authorized to do business in the state as surety, and
52irrevocable letters of credit shall be issued by a bank
53authorized to do business in the state as a bank.
54     (c)  Irrevocable letters of credit shall be engaged by a
55bank as an agreement to honor demands for payment as specified
56in this section.
57     (d)(b)  The department shall, upon denial, suspension, or
58revocation of any license, notify the surety company of the
59licensee, or bank issuing an irrevocable letter of credit for
60the licensee, in writing, that the license has been denied,
61suspended, or revoked and shall state the reason for such
62denial, suspension, or revocation.
63     (e)(c)  Any surety company which pays any claim against the
64bond of any licensee or any bank which honors a demand for
65payment as a condition specified in a letter of credit of a
66licensee shall notify the department, in writing, that it has
67paid such action has been taken a claim and shall state the
68amount of the claim or payment.
69     (f)(d)  Any surety company which cancels the bond of any
70licensee or any bank which cancels an irrevocable letter of
71credit shall notify the department, in writing, of such
72cancellation, giving reason for the cancellation.
73
74
75================ T I T L E  A M E N D M E N T =============
76     Remove line(s) 157 and insert:
77titling fees; providing certain penalties; amending s.
78320.77, F.S.; providing that mobile home dealers may
79provide a cash bond or letter of credit in lieu of a
80required surety bond; amending s.


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