KRS § 330.192 — KY Code / Title XXVI / Chapter 330 / Section 330.192
330.192 Auctioneer's education, research, and recovery fund -- Annual fees, charges, and assessments -- Purpose -- Use -- Statement of income and expenses -- Coverage of licensees
Status: in_force

330.192 Auctioneer's education, research, and recovery fund -- Annual fees,

charges, and assessments -- Purpose -- Use -- Statement of income and

expenses -- Coverage of licensees.

(1) (a) There is hereby created and established in the State Treasury the auctioneer's

education, research, and recovery fund.

(b) In addition to the license fees established in KRS 330.070, and KRS 330.095,

the board may assess each licensee a renewal recovery fee established by

administrative regulations promulgated by the board in accordance with KRS

Chapter 13A. Each initial applicant shall pay an initial recovery fee

established by administrative regulations promulgated by the board in

accordance with KRS Chapter 13A.

(2) The purposes of the auctioneer's education, research, and recovery fund shall be as

follows:

(a) When a licensee has been duly found guilty of violating one (1) or more of the

provisions of this chapter, or one (1) or more of the administrative regulations

duly promulgated by the board, and upon the conclusion of a final order

entered by the board or by the courts, if appealed, the board is authorized to

pay to the aggrieved party an amount not to exceed fifty thousand dollars

($50,000) against any one (1) licensee, if the licensee has refused to pay the

claim within twenty (20) days of entry of a final order and provided further

that the amount or amounts of money in question are certain and liquidated.

(b) The board shall maintain a minimum of two hundred fifty thousand dollars

($250,000) for recovery and guaranty purposes. These funds may be invested

and reinvested in the same manner as funds of the State Employees'

Retirement System and the interest from said investments shall be deposited

to the credit of the research and recovery fund, or, in the discretion of the

board, to the agency fund account as set out in KRS 330.050(6). Sufficient

liquidity, however, shall be maintained so that money is available to satisfy all

claims which may be processed through the board by means of administrative

hearing as outlined in this chapter.

(c) The board may use funds in excess of two hundred fifty thousand dollars

($250,000), whether from the auctioneer's education, research, and recovery

fund fees or accrued interest thereon, for any of the following purposes:

1. To advance education and research in the auction field for the benefit of

those seeking an auctioneer license, those licensed under the provisions

of this chapter and to improve and make more efficient the auction

industry;

2. To underwrite educational seminars, caravans, and other forms of

educational projects for the general benefit of licensees;

3. To establish an auction chair or courses at Kentucky state institutions of

higher learning for the purpose of making college or university level

courses available to licensees and the general public;

4. To contract for a particular research project in the auction field for the

Commonwealth of Kentucky;

5. To sponsor, contract for, and to underwrite all other educational and

research projects that contribute to the advancement of the auction field

in Kentucky;

6. To cooperate with associations of auctioneers and any other groups for

the enlightenment and advancement of Kentucky licensees;

7. To increase the level of the auctioneer's education, research, and

recovery fund above two hundred fifty thousand dollars ($250,000); and

8. To augment the regular trust and agency account of the board for

purposes of addressing cash flow shortfalls, budget deficits, and for

reimbursement of personnel, administrative, operational, and capital

expenses incurred by the trust and agency account pursuant to the

purposes of the education, research, and recovery fund as provided in

this section, an amount not to exceed two hundred fifty thousand dollars

($250,000) annually.

(d) Within one hundred twenty (120) days after the end of each fiscal year, the

board shall make public, through its Web site or other public media, a

statement of income and expenses of the auctioneer's education, research, and

recovery fund, the details of which are in accordance with state financial

reporting requirements.

(3) (a) If a licensee is found guilty of one (1) or more provisions of this chapter or of

violating one (1) or more of the administrative regulations of the board, and if

the amount of the money lost by the aggrieved party or parties is in dispute or

cannot be determined accurately, then the amount of damages shall be

determined by the Circuit Court in the county where the alleged violation took

place, provided that the board has previously determined that a violation of

the license laws or of the administrative regulations has occurred and a final

order has been entered.

(b) If an order has been entered and the license rights of the licensee have been

finally adjudicated, then the local Circuit Court shall determine the monetary

damages due from the aforesaid violation or violations.

(c) When a final order has been entered by the Circuit Court, Court of Appeals, or

Supreme Court, and upon certification to the board, the aggrieved party or

parties shall be paid an amount not to exceed fifty thousand dollars ($50,000)

by the board, and the license held by the licensee against whom the claim was

made by the aggrieved party shall be suspended at least until the licensee has

reimbursed the auctioneer's education, research, and recovery fund for all

amounts paid to the aggrieved party due to the violation of the licensee.

(d) When, upon the final order of the court, the board has paid from the

auctioneer's education, research, and recovery fund any sum to the aggrieved

party, the board shall be subrogated to all of the rights of the aggrieved party

to the extent of the payment and the aggrieved party shall, to the extent of the

payment, assign his right, title, and interest in the judgment to the board.

(e) All claims for monetary damages or relief from the auctioneer's education,

research, and recovery fund shall be made in writing and submitted to the

board within twelve (12) months of the act of the auctioneer giving rise to the

loss. Failure to file a claim within the twelve (12) month period shall bar the

claim. Additional evidence shall be submitted by the claimant if required by

the board.

(f) Notwithstanding any other provisions of this chapter, no unreimbursed

amount greater than fifty thousand dollars ($50,000) shall be paid by the board

on account of any one (1) licensee, no matter over how long a time, or for how

many claims, and no matter what the number of claimants be or the size of

such claims, individually or in the aggregate. Should the licensee reimburse

the fund for all amounts paid, then future claims timely filed with the board

concerning different matters may be received pursuant to this section.

(g) No claims shall be approved under this section for amounts which, in the

aggregate, exceed the maximum payable on account of any one (1) licensee in

effect at the time of the act or acts of the licensee giving rise to the claims,

except to the extent of said maximum. Statutory increases in the maximum set

out in this section do not apply retroactively.

(4) All categories of licensees under this chapter are covered under the provisions of

this section for the benefit and protection of the public.

(5) This section is not intended to substitute for, circumvent, or duplicate other

remedies existing at law or otherwise for claimants or potential claimants, but

constitutes a last resort for aggrieved persons who would not, but for the provisions

of this section, be able to recover their losses by any other means available. The

board shall have full discretion to require that claimants exhaust all other remedies

prior to proceeding under this section, including but not limited to the remedy of

obtaining a judgment by all diligent and appropriate means.