Arkansas Administrative Code › Agency 006 - Department of Finance and Administration › Division 05 - Division of Revenues › Rule 006.05.93-010 - Regulation 1993-7 Bonded All-Terrain Vehicle Regulation

Current through Register Vol. 49, No. 6, June, 2024
Pursuant to authority given the Commissioner of Revenues by
				subsection (b) of section 20 of Act 142 of 1949 [Ark Code Ann
				27-14-403(b)
				] , after the effective date of this regulation Cash bonds, corporate surety
				bonds, certificates of "depasit with assignment, irrevocable letters of credit
				and personal bonds which. meet the requirements of this regulation may be
				accepted under those circumstances where a bond is authorized under the
				provisions of Act 1308 of 1993 [Ark. Code Ann. §
								27-20-202
				].
(1) Definitions:
(A) "Bond" means any cash bond, corporate
			 surety bond, certificate of deposit with an assignment, or irrevocable letter
			 of credit or personal bond approved by the Commissioner and given for the
			 purpose of indemnifying any prior owner or lienholder and any subsequent
			 purchaser of an all-terrain vehicle, or person acquiring any security interest
			 in it, and their respective successors in interest, heirs, or assigns, against
			 any expense, loss or damage, including reasonable attorney's fees, by reason of
			 the issuance of the certificate of title to the all-terrain vehicle or on
			 account of any defect in or undisclosed security interest upon the right, title
			 and interest of the applicant in and to the all-terrain vehicle.
(B) "Bonded Title" means a certificate of
			 title for a three (3) or four (4) wheeled all-terrain cycle issued upon the
			 condition that a bond is filed with the Commissioner of Revenues pursuant to
			 Act 1308 of 1993 [Ark. Code Ann. §
									27-20-202
			 ].
(C) "Insurer" means any person
			 with a valid certificate of authority, issued by the Arkansas Insurance
			 Commissioner which certificate grants the authority to become surety on
			 contracts in the State of Arkansas, or any other guarantor approved by the
			 Commissioner of Revenues.
(D)
			 "All-terrain vehicle" means any three (3) or four (4) wheeled all-terrain
			 vehicle of a type required to be registered and titled in Arkansas, and which
			 is in the possession of and legally controlled by the applicant for bonded
			 title. This definition shall specifically exclude the following:
(i) All-terrain vehicles for which a person
			 holds a storage or mechanic's lien under the provisions of Act 1000 of 1993,
			 [Arkansas Code Annotated § 27-50- 1201, et. seq. ] , or Arkansas Code Annotated
			 §
										18-45-201,
			 et. seq.;
(ii) Stolen all-terrain
			 vehicles;
(iii) All-terrain
			 vehicles involved in ownership litigation.
(E) "Statement of fact" means a form
			 prescribed by the Commissioner, to be completed by the applicant for bonded
			 title and filed with the Commissioner prior to the filing of a bond, so that a
			 determination can be made as to the eligibility of the applicant for issuance
			 of a bonded title.
(F) "Letter of
			 approval" means a letter issued by the Commissioner to the applicant for bonded
			 title granting approval to file a bond and apply for registration and issuance
			 of a bonded title, and establishing the amount of the bond to be
			 filed.