Source: http://lawfilesext.leg.wa.gov/law/wsr/2001/11/01-11-132.htm
Timestamp: 2020-05-26 09:33:55
Document Index: 402165895

Matched Legal Cases: ['§ 308', '§ 308', '§ 308', '§ 308', '§ 308', '§ 308', '§ 12', '§ 308', '§ 308', '§ 308', '§ 308', '§ 308', '§ 308', '§ 308', '§ 308', '§ 308', '§ 308']

WSR 01-11-132
[ Filed May 22, 2001, 3:29 p.m. ]
Purpose: To amend existing rules for clarity and to simplify language and requirements and the adoption of new rules to enable the director to enforce his duties under this chapter. To add four new rules pertaining to brief adjudicative proceedings (WAC 308-29-090, 308-29-100, 308-29-110, and 308-29-120).
Citation of Existing Rules Affected by this Order: Amending WAC 308-29-010, 308-29-020, 308-29-030, 308-29-045, 308-29-050, 308-29-060, 308-29-070, and 308-29-080.
Adopted under notice filed as WSR 01-01-130 on January 23, 2001.
Changes Other than Editing from Proposed to Adopted Version: WAC 308-29-025 (2)(b), "Annotations of significant events or conversations with debtors."
WAC 308-29-025 (2)(d), "Collection agreements authorizing the licensee to collect debts and or a schedule listing all fees or charges to be charged to the debtor or client."
WAC 308-29-025 (3)(d), being deleted - it is a duplicate of subsection (2)(d).
WAC 308-29-025 (4)(e), "...shall return all instruments and client property to the client within ten (10) thirty (30) business days after written demand from the client, or as specified in the client contract."
WAC 308-29-030(1), "Each licensee shall notify the director in writing: (a) prior to within ten business days of any change in its ownership." (b) within ten business days of any change in officers, directors, or managing employees of each office location."
WAC 308-29-050, beginnings of subsections (1) through (4) changed as follows, "Within twenty (20) thirty (30) business days after ..."
Number of Sections Adopted Using Negotiated Rule Making: New 0, Amended 0, Repealed 0; Pilot Rule Making: New 0, Amended 0, Repealed 0; or Other Alternative Rule Making: New 4, Amended 0, Repealed 0. Effective Date of Rule: Thirty-one days after filing.
OTS-4385.3
AMENDATORY SECTION(Amending Order PL-123, filed 5/17/72)
WAC 308-29-010 Definitions. ((For the purpose of administering chapter 19.16 RCW, the following terms shall be considered in the following manner:))
(2) "Branch office" ((shall mean)) is any location physically separated from the principal place of business of a licensee ((from which)) where the licensee ((or his employees)) conducts any activity meeting the criteria of a collection agency ((under the definition of that term)) or out-of-state collection agency as defined in RCW 19.16.100.
(((2))) (3) "Repossession services" conducted by any person((, firm, partnership, trust, joint venture, association or corporation,)) shall not be ((considered within the definition of)) deemed a collection agency as defined in RCW 19.16.100, unless such person((, firm, partnership, trust, joint venture, association or corporation)) is repossessing or is attempting to repossess property for a third party and is authorized ((by such third party)) to accept cash or any other thing of value from the debtor in lieu of actual repossession.
(4)"Managing employee" is an individual who has the general power to exercise judgment and discretion in acting on behalf of the licensee on an overall or partial basis and who does not act in an inferior capacity under close supervision or direction of a superior authority (as distinguished from a nonmanaging employee who is told what to do and has no discretion about what he or she can and cannot do and who is responsible to an immediate superior).
[Order PL-123, § 308-29-010, filed 5/17/72.]
WAC 308-29-020 Financial statement. Each applicant ((for a collection agency license shall be required to)) must submit a current (within prior three months) financial statement of assets and liabilities. Such statement ((will)) shall be submitted in the manner and form ((as may be)) prescribed by the director. Whenever a licensee applies for annual license renewal, such licensee ((will be required to submit a certification as to the financial solvency of the collection agency)) must sign the renewal form that contains a certification:
[Order PL-123, § 308-29-020, filed 5/17/72.]
WAC 308-29-025 What records must a licensee maintain at the licensed location? Required records:
AMENDATORY SECTION(Amending Order PM 653, filed 5/20/87)
WAC 308-29-030 ((License records.)) Do licensees have to notify the director of changes in ownership, officers, directors, or managing employees? (1) Each licensee shall notify the director in writing ((within ten days after)):
(a) Within ten business days of any change in its ownership ((of a proprietorship or));
(b) Within ten business days of any change in ((owners,)) officers, directors, or managing employees of each office location. ((Such))
The notification shall consist of reporting the individual's name, position, ((home)) address and effective date of change.
(2) If requested by the department, each licensee shall ((advise)) notify the department in writing of any additional information regarding the change or changes in subsection (1) of this section ((that the department may seek)) within ten days after the ((receipt of such a)) mailing of the request ((from the department)).
[Statutory Authority: RCW 19.16.410. 87-11-064 (Order PM 653), § 308-29-030, filed 5/20/87; Order PL-141, § 308-29-030, filed 12/18/72.]
AMENDATORY SECTION(Amending WSR 90-06-052, filed 3/2/90, effective 4/2/90)
WAC 308-29-045 Collection agency fees. The following fees shall be charged by the ((professional licensing)) business and professions division of the department of licensing:
Investigation (nonrefundable) 250.00
Renewal 600.00
Late renewal penalty 400.00
Reregistration fee after 30 days 1,650.00
Renewal 350.00
Late renewal penalty 200.00
Reregistration fee after 30 days 900.00
[Statutory Authority: RCW 43.24.086. 90-06-052, § 308-29-045, filed 3/2/90, effective 4/2/90; 87-10-028 (Order PM 650), § 308-29-045, filed 5/1/87. Statutory Authority: 1983 c 168 § 12. 83-22-060 (Order PL 446), § 308-29-045, filed 11/2/83; 83-17-031 (Order PL 442), § 308-29-045, filed 8/10/83. Formerly WAC 308-29-040.]
AMENDATORY SECTION(Amending Order PL-306, filed 6/1/79)
WAC 308-29-050 ((Suit or judgment notification.)) Are licensees required to notify the director of lawsuits, judgments, etc., involving the licensee or its employees? (1) ((Every licensee shall, within twenty days, notify the director in writing of any judgment entered in any court whatsoever, the subject matter of which involves any of the practices prohibited in RCW 19.16.250 or any of the grounds set forth in RCW 19.16.120 (4)(c), 19.16.120 (4)(d) or 19.16.120 (4)(f), and in which the licensee or any owner, officer, director or managing employee of a nonindividual licensee is named a party therein.
(2) Every licensee shall, within twenty days after service or knowledge thereof, notify the director in writing of the filing of a petition in bankruptcy, or any tax lien or warrant, or of the filing of any suit, complaint, counterclaim or cross claim served or filed in any court in which the licensee or any owner, officer, director or managing employee of a nonindividual licensee is named a party and which involves any alleged violation of RCW 19.16.210 or which is or purports to be brought on behalf of the state of Washington or three or more persons or entities.
(3))) Within thirty days after the entry of any judgment against the licensee or any owner, officer, director or managing employee of a nonindividual licensee, the licensee shall notify the director in writing of the judgment, if the judgment arises out of any of the practices prohibited in RCW 19.16.250 or of any of the grounds set forth in RCW 19.16.120.
(5) The written notification ((in writing)) shall be sent by certified or registered mail and shall identify:
• The ((name or)) names of all parties, plaintiff and defendant((,));
• The court in which the action is commenced((,)); and
[Statutory Authority: RCW 19.16.410. 79-06-084 (Order PL-306), § 308-29-050, filed 6/1/79.]
WAC 308-29-060 ((Sale of a licensed collection agency.)) What are the licensees' obligations when transferring an interest in a collection agency? ((Whenever a licensee intends to sell or otherwise transfer his or its interest in a collection agency, the seller (licensee) and buyer or transferee will insure that there is incorporated in the body of the sale agreement or document of transfer appropriate clauses that set forth provisions relative to the following:
(1) The Washington state collection agency license is not transferable or assignable and buyer is responsible to initiate whatever administrative action is necessary to obtain such license as required by law.
(2) Whether buyer or seller has the responsibility for all payments due customers on or before the effective date of sale.
(3) Whether buyer or seller has the responsibility for maintaining and preserving the accounting records as prescribed by RCW 19.16.230(3).
(4) Whether buyer is restricted from or is authorized to use the seller's collection agency's business name.
(5) The buyer (transferee) or seller (transferor) shall provide notice of the sale or transfer to the seller's or transferor's clients with open accounts. The sale or transfer document shall provide which party to the sale or transfer is responsible for providing said notice.)) (1) In order to transfer the licensee's interest in a collection agency or out-of-state collection agency, unless the transfer is due to the death of an individual licensee, the licensee shall notify all of its clients with open accounts, or cause such clients to be notified, of the transfer of the licensee's interest.
[Statutory Authority: RCW 19.16.410. 87-11-064 (Order PM 653), § 308-29-060, filed 5/20/87; 86-14-051 (Order PM 602), § 308-29-060, filed 6/27/86; 79-06-084 (Order PL-306), § 308-29-060, filed 6/1/79.]
WAC 308-29-070 Disclosure of rate of interest. Whenever a collection agency is required pursuant to RCW 19.16.250 (8)(c) to disclose to the debtor that interest charges are being added to the original obligation, the collection agency must also disclose to the debtor the rate of interest((; said)). The rate of interest ((not to)) cannot exceed the legal maximum rate ((pursuant to)) established in chapter 19.52 RCW.
[Statutory Authority: RCW 19.16.410. 87-11-064 (Order PM 653), § 308-29-070, filed 5/20/87; 86-14-051 (Order PM 602), § 308-29-070, filed 6/27/86.]
WAC 308-29-080 ((Notice to credit reporting bureaus.)) Does a collection agency have to notify the credit reporting agency when the debt is satisfied? ((In the event)) If a collection agency informs a credit-reporting ((bureau)) agency of the existence of a claim, the collection agency shall((, within forty-five days of satisfaction of said claim,)) promptly notify the credit-reporting ((bureau that said)) agency that the claim has been satisfied. In the absence of other applicable law, "promptly" shall mean within forty-five days after satisfaction of the claim.
[Statutory Authority: RCW 19.16.410. 87-11-064 (Order PM 653), § 308-29-080, filed 5/20/87; 86-14-051 (Order PM 602), § 308-29-080, filed 6/27/86.]
WAC 308-29-090 Application of brief adjudicative proceedings. The board adopts RCW 34.05.482 through 34.05.494 for the administration of brief adjudicative proceedings conducted by request of an applicant or licensee, or at the discretion of the board chair pursuant to RCW 34.05.482, for the categories of matters set out below. Brief adjudicative proceedings may be conducted where the matter is limited solely to one or more of the following issues:
(4) Whether a license holder meets the surety bond requirements to maintain their license and the board proposes to terminate the license.
WAC 308-29-100 Preliminary record in brief adjudicative proceedings. (1) The preliminary record with respect to an application for an original or renewal license shall consist of:
(a) The application for the license, renewal, or reinstatement and all associated documents;
(b) All documents relied upon by the department of licensing collection agency program in proposing to deny the license, renewal, or reinstatement; and
(c) All correspondence between the applicant for license, renewal, or reinstatement and the program regarding the application.
(3) The preliminary record with respect to determination of compliance with the surety bond requirements shall consist of:
(a) The surety bond cancellation notice from the insurance company;
(b) All documents relied upon by the program in proposing to terminate the license; and
(c) All correspondence between the license holder and the program regarding the surety bond cancellation.
WAC 308-29-110 Conduct of brief adjudicative proceedings. (1) Brief adjudicative proceedings shall be conducted by a presiding officer designated by the board. The presiding officer for brief adjudicative proceedings shall have agency expertise in the subject matter but shall not have personally participated in the decision to issue the initiating document.
WAC 308-29-120 Appeal process for brief adjudicative proceedings. If you do not receive satisfaction from the brief adjudicative proceeding, you may appeal to the board for an administrative review. The board must receive your written appeal within twenty-one days after the brief adjudicative proceeding order is posted in the United States mail. The board considers your appeal and either upholds or overturns the brief adjudicative proceeding decision. The board's decision, also called an order, is mailed to you.