NY Ins L § 6802 (2021)
2021 New York Laws ISC - Insurance Article 68 - Bail Bonds 6802 - Professional Bondsmen; Licensing.

§  6802.  Professional  bondsmen;  licensing.   (a) No person, firm or corporation or any officer or employee thereof shall act in  this  state as  an  agent or solicitor of an insurer or charitable bail organization doing a bail business in soliciting,  negotiating  or  effectuating  any such   deposit   or  bail  bond  by  such  insurer  or  charitable  bail organization unless licensed by the superintendent as an agent  pursuant to  the  provisions of this section.  Any person, firm or corporation so acting without being duly licensed shall be guilty of a misdemeanor.  (b) Every corporation or charitable bail organization engaging  as  an insurer  doing  a  bail  business  in this state shall procure a license pursuant to the provisions of this section for each  of  its  employees, officers  and  agents  acting  for  it  in  soliciting,  negotiating  or effectuating any such deposit or bail bond.  (c) The superintendent may, in the superintendent's discretion,  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.  (d) Any such license issued to a firm or corporation  shall  authorize only  the  members  named  in  such  license  as  sublicensees,  to  act individually  as  agents  thereunder.  Any  sublicense   issued   to   a corporation  shall  authorize  only  the officers and directors named in such license as sublicensees, to act individually as agents  thereunder. Every  sublicensee,  acting  as  insurance  agent  pursuant to a license issued to a firm or corporation, shall be authorized to act only in  the name of such firm or corporation.  (e) Before the issuance of a license every applicant shall satisfy the superintendent  as  to  his trustworthiness and competence and otherwise comply with the conditions set forth in this section. The superintendent may refuse to issue any such license if in  his  judgment  such  refusal will best promote the interests of the people of this state.  (f)  At  the  time  of the application for every license a twenty-five dollar fee shall be paid to the superintendent for each year or fraction of a year in  which  a  license  shall  be  valid  for  each  individual applicant and for each proposed sublicensee.  (g)  Every  applicant  for  a  license  hereunder  shall file with the superintendent written evidence by those  who  know  his  character  and reputation  and  by  such other proof as the superintendent may require, including 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, officer and director of such  firm  or  corporation.  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.  (h) In order to determine the  competence  of  each  applicant  for  a license   or  a  sublicense,  the  superintendent  shall  require  every applicant to pass to the satisfaction of the  superintendent  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 procedure 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.  (i) Every individual applying to take any written examination shall at the  time of applying pay to the superintendent, or at the discretion of the superintendent, directly to any organization that is under  contract to  provide  examination services, an examination fee of an amount which is  the  actual  documented  administrative  cost  of   conducting   the examination  as  certified  by  the superintendent from time to time. An examination  fee  represents  an  administrative  expense  and  is   not refundable.  (j)  Every  applicant  for  any  such  license  shall  file  with  the superintendent a qualifying bond, approved by the attorney general as to form and by the superintendent as to sufficiency, 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 maintain 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.  (k) The superintendent may, upon notice and after a hearing, revoke or suspend, for such period as  he  may  determine,  any  such  license  or sublicense  issued  pursuant to the provisions of this section if, after notice and hearing as specified in this chapter, he determines that  the licensee or any sublicensee or any member of a firm or corporation which is so licensed has:  (1)  violated  any  provision  of,  or  any obligation imposed by, the insurance law, or has violated any other law of the state;  (2) has made a material  misstatement  in  the  application  for  such license;  (3)  has been guilty of any fraudulent or dishonest practices or other misconduct or malfeasance;  (4) has charged or received, as premium or compensation for the making of any deposit or bail bond, any sum in excess of that permitted by law;  (5) has required, as a condition of his executing a  bail  bond,  that the principal agree to engage the services of a specified attorney; or  (6) has demonstrated his incompetency or untrustworthiness to act as a licensee.  (l) The superintendent, in lieu of revoking or suspending a license in accordance  with  the  provisions  of  this  article,  may,  in  any one proceeding, by order, require the licensee to pay to the people of  this state  a  penalty  in  a sum not exceeding five hundred dollars for each offense, and a penalty  in  a  sum  not  exceeding  twenty-five  hundred dollars in the aggregate for all offenses. Upon failure of such licensee to  pay such penalty within twenty days after the mailing of such order, postage prepaid, registered, and addressed to the last  known  place  of business  of  such  licensee,  unless such order is stayed by a court of  competent jurisdiction, the superintendent may  revoke  the  license  of such  licensee  or  may  suspend  the  same  for  such  period as he may determine.  (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.  The superintendent  may  refuse  to  issue  any  such  license  if  in   the superintendent'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 each even numbered year, the  form  and  subject  matter  of which may be prescribed by the superintendent.  (n)  Any  domestic, foreign or alien surety company which was licensed to do a bail bond business in this state before January first,  nineteen hundred  forty  shall  so  long as its license or any renewal remains in force, be deemed licensed as an insurer to do such business  within  the meaning of paragraph one of subsection (b) of section six thousand eight hundred one of this article and article eleven of this chapter.  (o)  This  section  shall  not apply to any insurer authorized in this state to execute and  issue  policies  of  motor  vehicle  and  aircraft insurance  as specified in paragraphs thirteen, fourteen and nineteen of subsection (a) of section one thousand  one  hundred  thirteen  of  this chapter  or  to  any  agent  of such insurer or to any broker who, as an incident to the execution and issuance of any  such  policy  or  to  the solicitation,  negotiation  or procurement thereof undertakes to pay, in addition to the applicable limits of liability, the cost of  bail  bonds required  of  the  insured  because  of accident or asserted traffic law violations arising out of the use of a vehicle insured under  the  terms of  the policy, provided the cost of each such bail bond does not exceed one hundred dollars, or who otherwise arranges for the  execution  of  a bail  bond  or  deposit in lieu of cash bail on behalf of the insured in the event of the insured's arrest or detention by reason of an  asserted violation of any law relating to the use of a motor vehicle.  (p)  The  superintendent  may  issue  a replacement for a currently in force license which has been lost or destroyed. Before such  replacement license  shall  be  issued,  there shall be on file in the office of the superintendent a  written  application  for  such  replacement  license, affirming  under  penalty  of perjury that the original license has been lost or destroyed, together with a fee of fifteen dollars.