Print Friendly SENATE BILL NO. 1199 – Bail agent/indemnificatn/bond loss
SENATE BILL NO. 1199
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S1199................................................by JUDICIARY AND RULES
BAIL - Amends existing law relating to producer licensing to provide that a
bail surety or bail agent is not prohibited from pursuing certain
contractual rights to indemnification of bond losses.
03/14 Senate intro - 1st rdg - to printing
03/15 Rpt prt - to Jud
]]]] LEGISLATURE OF THE STATE OF IDAHO ]]]]
Fifty-eighth Legislature First Regular Session - 2005
IN THE SENATE
SENATE BILL NO. 1199
BY JUDICIARY AND RULES COMMITTEE
1 AN ACT
2 RELATING TO PRODUCER LICENSING; AMENDING SECTION 41-1042, IDAHO CODE, TO PRO-
3 VIDE THAT A BAIL SURETY OR BAIL AGENT IS NOT PROHIBITED FROM PURSUING CER-
4 TAIN CONTRACTUAL RIGHTS TO INDEMNIFICATION OF BOND LOSSES.
5 Be It Enacted by the Legislature of the State of Idaho:
6 SECTION 1. That Section 41-1042, Idaho Code, be, and the same is hereby
7 amended to read as follows:
8 41-1042. COLLECTIONS AND CHARGES PERMITTED. (1) Notwithstanding any other
9 provision of this chapter, a bail agent in any bail transaction shall not,
10 directly or indirectly, charge or collect money or other valuable consider-
11 ation from any person except for the following:
12 (a) To pay premiums at the rates established by the insurer;
13 (b) To provide collateral;
14 (c) To reimburse the bail agent for actual expenses incurred in connec-
15 tion with the bail transaction, limited to the following:
16 (i) Expenditures actually and reasonably incurred to verify under-
17 writing information or to pay for notary public fees, recording fees,
18 or necessary long distance telephone or telegram fees; provided how-
19 ever, that the total of all such expenditures reimbursed shall not
20 exceed fifty dollars ($50.00); and
21 (ii) Travel expenses incurred more than twenty-five (25) miles from
22 a bail agent's place of business, which includes any city or locality
23 in which the bail agent advertises or engages in bail business, up to
24 the amount allowed by the internal revenue service for business
25 travel for the year in which the travel occurs.
26 (2) Except as permitted under this section, a bail agent shall not make
27 any charge for his service in a bail transaction and the bail agent shall
28 fully document all expenses for which the bail agent seeks reimbursement.
29 (3) This section does not prohibit a bail surety or bail agent from pur-
30 suing a contractual right to indemnification of any bond loss, including rea-
31 sonable and necessary investigation, legal and court expenses actually incur-
32 red by the bail surety or bail agent in connection with a bail forfeiture.
STATEMENT OF PURPOSE
This legislation clarifies the authority of the bail surety or
agent to enforce the contractual right to indemnification if a
defendant breaches the contract, specifically the right to
recover expenses caused by the defendant's breach of the
No fiscal impact to the State of Idaho. This legislation
should reduce the costs to law enforcement for locating and
returning defendants to the state of Idaho by motivating bail
sureties and agents to locate and return defendants who have
failed to appear in court.
Name: Steve J. Tobiason
STATEMENT OF PURPOSE/FISCAL NOTE S 1199