The purpose of this rule amendment is amend an obsolete rulemaking authority reference in the current rule, to update a form date reference, to remove an obsolete form title reference, and to correct the reference to the Office’s zip code in the ...

 

DEPARTMENT OF FINANCIAL SERVICES

Finance

RULE NO.:                            RULE TITLE:

69V-180.010                            Commercial Collection Surety Bond and Procedures

PURPOSE AND EFFECT: The purpose of this rule amendment is amend an obsolete rulemaking authority reference in the current rule, to update a form date reference, to remove an obsolete form title reference, and to correct the reference to the Office’s zip code in the current rule. The effect of this amendment is to conform the form references in this rule to the form references in proposed new Rule 69V-180.002, F.A.C., to provide the correct zip code for the Office of Financial Regulation, and to provide the current Rulemaking Authority for this rule.

SUMMARY: Subsection (1) is proposed to be amended to update the effective date of Form OFR-CCA-101, to amend the title of Form OFR-CCA-101, and to correct the reference to the Office’s zip code. The Rulemaking Authority reference is proposed to be amended to delete an obsolete reference and replace with the current reference.

SUMMARY OF STATEMENT OF ESTIMATED REGULATORY COSTS AND LEGISLATIVE RATIFICATION: The Agency has determined that this will not have an adverse impact on small business or likely increase directly or indirectly regulatory costs in excess of $200,000 in the aggregate within one year after the implementation of the rule. A SERC has not been prepared by the Agency.

The Agency has determined that the proposed rule is not expected to require legislative ratification based on the statement of estimated regulatory costs or if no SERC is required, the information expressly relied upon and described herein: 1) No requirement for a SERC was triggered under Section 120.541(1); and 2) The amendments will not exceed any one of the economic analysis criteria in a SERC, as set forth in Section 120.541(2)(a), F.S.

Any person who wishes to provide information regarding a statement of estimated regulatory costs, or provide a proposal for a lower cost regulatory alternative must do so in writing within 21 days of this notice.

RULEMAKING AUTHORITY: 559.545 FS.

LAW IMPLEMENTED: 559.542, 559.544, 559.545, 559.546 FS.

IF REQUESTED WITHIN 21 DAYS OF THE DATE OF THIS NOTICE, A HEARING WILL BE SCHEDULED AND ANNOUNCED IN THE FAR.

THE PERSON TO BE CONTACTED REGARDING THE PROPOSED RULE IS: C. Michael Marschall, Division of Consumer Finance,[phone], [e-mail]

 

THE FULL TEXT OF THE PROPOSED RULE IS:

 

69V-180.010 Commercial Collection Surety Bond and Procedures.

(1) Any person acting as a commercial collection agency must obtain and maintain a surety bond in the amount of $50,000 issued by a surety company admitted to do business in this state. To comply with this rule the commercial collection agency shall utilize Fform-OFR-CCA-0101, State of Florida, Office of Financial Regulation bond form Commercial Collection Agency Surety Bond, effective 05/01/04 11-3-93, which is hereby incorporated by reference and available from the Office of Financial Regulation, 200 East Gaines Street, Tallahassee, Florida 32399-0376 32399-0375. The terms of the surety bond shall be complied with. The surety bond shall be duly executed by the principal and the surety and shall not contain any blank spaces.

(2)(a) In the event that the surety has received claims within a six (6) month period, whether or not reduced to judgment, which exceed the amount due by the surety on the bond, the surety may pay the amount due on the bond to the Office of Financial Regulation and shall not be further liable on the bond. At the time payment is made by the surety to the Office of Financial Regulation, the surety shall provide the Office of Financial Regulation with copies of all claims made on the bond. Only valid claims made against the bond within six (6) months after the date of receipt of the first claim against the bond shall be paid. Subsequent to the expiration of the six-month period, the Office of Financial Regulation shall notice its intent to approve or deny the claims on file with the Office of Financial Regulation. The entry of a valid final judgment against the commercial collection agency or the surety shall be conclusive evidence of a valid claim. In the event that the claimant has not reduced the claim to judgment, the claimant may provide evidence to the Office of Financial Regulation pursuant to Section 120.57, F.S. Should the amount of valid claims exceed the amount on deposit with the Office of Financial Regulation, payment shall be based on the ratio that the person’s claim bears to the total claims filed.

(b)1. As used herein, “claim” means a written demand for payment whether by letter or legal process.

2. As used herein, “valid final judgment” means a judgment from a court of competent jurisdiction where no appeal is pending and which is not subject to collateral attack.

Rulemaking Authority 17.29 559.545 FS. Law Implemented 559.542, 559.544, 559.545, 559.546 FS. History–New 11-3-93, Formerly 3D-180.010, Amended _________.

 

NAME OF PERSON ORIGINATING PROPOSED RULE: Gregory C. Oaks, Director, Division of Consumer Finance

NAME OF AGENCY HEAD WHO APPROVED THE PROPOSED RULE: Financial Services Commission

DATE PROPOSED RULE APPROVED BY AGENCY HEAD: January 13, 2015

DATE NOTICE OF PROPOSED RULE DEVELOPMENT PUBLISHED IN FAR: December 17, 2014