Senate Bill S8144

                            
 
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   8144
 
                             I N  S E N A T E
 
                               April 6, 2018
                                ___________
 
 Introduced  by  Sen.  SEWARD -- read twice and ordered printed, and when
   printed to be committed to the Committee on Insurance
 
 AN ACT to amend the insurance law, in relation to licensing of bail bond
   agents
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:

   Section  1.  Subsections (c), (g), (h), (j) and (m) of section 6802 of
 the insurance law, subsections (c), (h) and (m) as amended by    chapter
 181 of the laws of 2012, subsection (g) as amended by chapter 164 of the
 laws of 2003, are amended and a new subsection (g-1) is added to read as
 follows:
   (c)  The  superintendent  [may,  in  the superintendent's discretion,]
 SHALL issue to any person, firm or corporation a license to  act  as  an
 agent  of  an  authorized  insurer  or  charitable bail organization, in
 soliciting, negotiating or effectuating any such deposit or bail bond by
 such insurer or any such deposit by such charitable  bail  organization,
 IF  SUCH  PERSON  MEETS  THE REQUIREMENTS FOR LICENSURE PURSUANT TO THIS
 SECTION.
   (g) Every applicant for a license hereunder shall file with the super-
 intendent written evidence by those who know his character  and  reputa-
 tion and by such other proof as the superintendent may require, [includ-
 ing  his  fingerprints,]  that  he  is  a  person  of good character and
 reputation and has never been convicted of any offense  involving  moral
 turpitude  or  of  any crime. If such applicant is a firm or corporation
 such proof must be made with respect to every member, shareholder, offi-
 cer and director of such firm  or  corporation.    EVERY  APPLICANT  FOR
 LICENSURE  AND  FOR RENEWAL OF A LICENSE SHALL SUBMIT HIS OR HER FINGER-
 PRINTS TO THE SUPERINTENDENT. Such fingerprints shall  be  submitted  to
 the  division  of criminal justice services for a state criminal history
 record check, as defined in subdivision one of  section  three  thousand
 thirty-five  of  the  education law, and may be submitted to the federal
 bureau of investigation for a national criminal history record check.
   (G-1) EVERY APPLICANT SHALL HAVE SUCCESSFULLY HAVE COMPLETED  A  TWEN-
 TY-FOUR  HOUR PRE-LICENSING COURSE OF CLASSROOM INSTRUCTION. SUCH COURSE
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
              

                       [ ] is old law to be omitted.
                                                            LBD14223-01-8

 S. 8144                             2
 
 SHALL INCLUDE INFORMATION SPECIFYING: THE  REQUIREMENTS  FOR  LICENSURE;
 RELEVANT  STATE  LAWS  CONCERNING BAIL BONDSMEN INCLUDING INSURANCE LAW;
 CRIMINAL PROCEDURE LAW AND GENERAL BUSINESS LAW; BOND POSTING PROCEDURES
 IN  THE  VARIOUS COUNTIES WITHIN THE STATE; REQUIREMENTS FOR UNDERTAKING
 AN AFFIDAVIT; RELEASE ORDERS; BOND FEES AND RELATED COSTS AND  EXPENSES;
 ELEMENTS OF BAIL CONTRACTS; LEGAL REQUIREMENTS FOR OPERATING A BAIL BOND
 AGENCY;  COURT  PRACTICES  AND  PROCEDURES; STATUTES RELATING TO FORFEI-
 TURES; STATUTES RELATING TO  BAIL  ENFORCEMENT;  SAFETY  PROCEDURES  AND
 RECOMMENDED PRACTICES FOR ENFORCEMENT; AND CURRENT RULES AND REGULATIONS
 OF THE DEPARTMENT OF FINANCIAL SERVICES REGARDING BAIL AGENTS.
   (h)  In  order  to  determine  the  competence of each applicant for a
 license or a sublicense, the superintendent shall require  every  appli-
 cant to [pass to the satisfaction of the superintendent] ACHIEVE A SCORE
 OF AT LEAST SEVENTY-FIVE PERCENT ON a written examination to be prepared
 by  the  superintendent and appropriate to the doing of a bail business.
 If the applicant or any proposed  sublicensee  intends  to  maintain  an
 office  or  solicit,  negotiate, effectuate or deposit bail on behalf of
 another in any city containing a population of  more  than  one  hundred
 seventy-five  thousand,  such  written  examination may inquire into the
 applicant's knowledge of the pertinent provisions of the criminal proce-
 dure law and the  pertinent  rules  and  practices  of  the  courts  and
 district  attorneys' offices within the area of the applicant's proposed
 operations. Such examination shall be held at such times and  places  as
 the superintendent shall determine.
   (j)  Every  applicant  for any such license shall file with the super-
 intendent, AT THE TIME OF APPLICATION, a qualifying  bond,  approved  by
 the  attorney  general as to form and by the superintendent as to suffi-
 ciency, in a penalty of five  thousand  dollars,  conditioned  upon  the
 faithful  performance of the duties of such licensee. No such qualifying
 bond shall be subject to termination or cancellation by either party  in
 less  than  sixty  days  after the giving of written notice to the other
 party and to the superintendent. A termination or cancellation shall not
 affect the liability of the surety or sureties  on  such  bond  incurred
 prior  to  the  effective  date  of such termination or cancellation. If
 during the term of such bond such licensee shall be guilty of fraudulent
 or dishonest conduct or other misconduct or malfeasance in his  dealings
 with  any  court  or  magistrate  or  with  any person or corporation in
 connection with any deposit or bail bond, the attorney general may main-
 tain an action on such qualifying bond in the name of the people of this
 state and either recover the full amount of the penalty or  recover  for
 the  use  and  benefit of the person or persons aggrieved, the amount of
 loss or injury sustained by such person or persons  by  reason  of  such
 misconduct. No such recovery or recoveries shall exceed in the aggregate
 five thousand dollars, exclusive of interest and costs.
   (m)  Every  license  issued  to  an  officer, employee, or agent of an
 insurer or charitable bail organization doing a bail  business  pursuant
 to  this section shall be for a term expiring on the thirty-first day of
 December of even numbered years and may be renewed for the  ensuing  two
 calendar  years  upon  the  filing  of  a  renewal  application  AND THE
 COMPLETION OF TWELVE HOURS OF INSTRUCTION CONSISTING OF COURSES INTENDED
 TO UPDATE OR  REINFORCE  THE  MATERIALS  AND  INFORMATION  PRESENTED  IN
 ACCORDANCE  WITH THE PROVISIONS OF SUBSECTION (G-1) OF THIS SECTION. The
 superintendent may refuse to issue any such license  if  in  the  super-
 intendent's judgment such refusal will best promote the interests of the
 people  of this state. Every such licensee and sublicensee shall file an
 information statement on or before the thirty-first day of  December  of

 S. 8144                             3
 
 each  even  numbered  year,  the form and subject matter of which may be
 prescribed by the superintendent.
   §  2.  This  act shall take effect on the ninetieth day after it shall
 have become a law and shall apply to licenses issued and renewed on  and
 after such date.