MISSISSIPPI LEGISLATURE

2000 Regular Session

To: Judiciary B

By: Representatives Stevens, Montgomery (74th)

AN ACT TO AMEND SECTION 83-39-3, MISSISSIPPI CODE OF 1972, TO PROVIDE THAT CERTAIN RELATIVES OF LAW ENFORCEMENT OFFICIALS SHALL NOT BE LICENSED AS BAIL AGENTS; TO AMEND SECTION 83-39-1, MISSISSIPPI CODE OF 1972, TO DEFINE THE TERM "RELATIVE"; TO AMEND SECTION 83-39-5, MISSISSIPPI CODE OF 1972, TO REVISE THE APPLICATION FOR A LICENSE AS A BAIL AGENT; TO AMEND SECTION 83-39-9, MISSISSIPPI CODE OF 1972, TO PROVIDE THAT PROFESSIONAL BAIL AGENTS SHALL NOT HAVE CERTAIN RELATIVES IN THEIR EMPLOY; TO AMEND SECTION 83-39-15, MISSISSIPPI CODE OF 1972, TO REVISE GROUNDS FOR DENIAL, SUSPENSION OR REVOCATION OF THE LICENSE OF A BAIL AGENT; AND FOR RELATED PURPOSES.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI:

SECTION 1. Section 83-39-1, Mississippi Code of 1972, is amended as follows:

83-39-1. The following terms when used in this chapter shall have the following meanings:

(a) "Department" means the Department of Insurance.

(b) "Commissioner" means the Commissioner of Insurance.

(c) "Insurer" means any domestic or foreign insurance corporation or association engaged in the business of insurance or suretyship which has qualified to transact surety or casualty business in this state.

(d) "Professional bail agent" means any individual who shall furnish bail, acting as a licensed personal surety agent or as a licensed limited surety agent representing an insurer as defined by this chapter. The above definition shall not include, and this chapter does not apply to, any individual who acts as personal surety in instances where there is no compensation charged or received for such service.

(e) "Soliciting bail agent" means any person who, as an agent or employee of a professional bail agent, or as an independent contractor, for compensation or otherwise, shall solicit, advertise or actively seek bail bond business for or in behalf of a professional bail agent.

(f) "Bail enforcement agent" means a person who assists the professional bail agent in presenting the defendant in court when required, or who assists in the apprehension and surrender of the defendant to the court or who keeps the defendant under necessary surveillance. Nothing herein shall affect the right of professional bail agents to have counsel or to ask assistance of law enforcement officers.

(g) "Limited surety agent" means any individual who is appointed by an insurer by power of attorney to execute or countersign bail bonds in connection with judicial proceedings, and who is duly licensed by the commissioner to represent such insurer for the restricted lines of bail, fidelity and surety, after successfully completing a limited examination by the department for the restricted lines of business.

(h) "Personal surety agent" means any individual who, having posted the necessary qualification bond with the commissioner as required by Section 83-39-7, and duly licensed by the commissioner, may execute and sign bail bonds in connection with judicial proceedings. All new personal surety agents licensed after July 1, 1994, shall complete successfully a limited examination by the department for the restricted lines of business.

(i) "Relative" means the spouse, child or parent.

SECTION 2. Section 83-39-3, Mississippi Code of 1972, is amended as follows:

83-39-3. (1) No person shall act in the capacity of professional bail agent, soliciting bail agent or bail enforcement agent, as defined in Section 83-39-1, or perform any of the functions, duties or powers of the same unless that person shall be qualified and licensed as provided in this chapter. The terms of this chapter shall not apply to any automobile club or association, financial institution, insurance company or other organization or association or their employees who execute bail bonds on violations arising out of the use of a motor vehicle by their members, policyholders or borrowers when bail bond is not the principal benefit of membership, the policy of insurance or of a loan to such member, policyholder or borrower.

(2) No license shall be issued except in compliance with this chapter, and none shall be issued except to an individual. No firm, partnership, association or corporation, as such, shall be so licensed. No professional bail agent shall operate under more than one (1) trade name. A soliciting bail agent and bail enforcement agent shall operate only under the professional bail agent's name. No person who has ever been convicted of a felony or any crime involving moral turpitude, or who has not been a resident of this state for at least one (1) year, unless presently licensed for bail bonds, or who is under twenty-one (21) years of age, shall be issued a license hereunder. No person engaged as a law enforcement or judicial official or attorney shall be licensed hereunder. No person who is a relative of a law enforcement official or who is a relative of an employee of a law enforcement official or a law enforcement entity shall be licensed hereunder. No person licensed under this chapter shall act as a personal surety agent in the writing of bail during a period he or she is licensed as a limited surety agent, as defined herein.

(3) The department is vested with the authority to enforce this chapter. The department may conduct investigations or request other state, county or local officials to conduct investigations and promulgate such rules and regulations as may be necessary for the enforcement of this chapter. The department may establish monetary fines and collect such fines as necessary for the enforcement of such rules and regulations. All fines collected shall be deposited in the Special Insurance Department Fund for the operation of that agency.

(4) Each license issued hereunder shall expire annually on the last day of May, unless revoked or suspended prior thereto by the department, or upon notice served upon the commissioner by the insurer that the authority of a limited surety agent to act for or in behalf of such insurer had been terminated, or upon notice served upon the commissioner by a professional bail agent that the employment of a soliciting bail agent or bail enforcement agent had been terminated by such professional bail agent.

(5) The department shall prepare and deliver to each licensee a certificate showing the name, address and classification of such licensee, and shall certify that the person is a licensed professional bail agent, being either a personal surety agent or a limited surety agent, a soliciting bail agent or a bail enforcement agent. In addition, the certificate, if for a soliciting bail agent or bail enforcement agent, shall show the name of the professional bail agent and any other information as the commissioner deems proper.

(6) The commissioner, after a hearing under Section 83-39-17, may refuse to issue a privilege license for a soliciting bail agent to change from one (1) professional bail agent to another if he owes any premium or debt to the professional bail agent with whom he is currently licensed.

(7) From and after May 1, 2000, prior to the issuance of any professional bail agent, soliciting bail agent or bail enforcement agent license, the applicant shall submit proof of completion of eight (8) hours of prelicensing education approved by the department and the Professional Bail Agents Association of Mississippi, Inc., and conducted by the Mississippi Judicial College or any institution of higher learning or community college. An applicant may work as an agent without the prelicensing education requirement but must complete such education at the first available offering.

(8) From and after May 1, 2000, prior to the renewal of any professional bail agent, soliciting bail agent or bail enforcement agent license, the applicant shall submit proof of completion of eight (8) hours of continuing education approved by the department and the Professional Bail Agents Association of Mississippi, Inc., and provided by the Mississippi Judicial College or any institution of higher learning or community college.

SECTION 3. Section 83-39-5, Mississippi Code of 1972, is amended as follows:

83-39-5. Any person desiring to engage in the business of professional bail agent, soliciting bail agent, or bail enforcement agent in this state shall apply to the department for a license on forms prepared and furnished by the department. The application for a license, or renewal thereof, shall set forth, under oath, the following information:

(a) Full name, age, date of birth, Social Security number, residence during the previous five (5) years, occupation and business address of the applicant.

(b) Spouse's full name, occupation and business address.

(c) Other relatives' full names, occupations and business addresses if a law enforcement official or if an employee of a law enforcement official or a law enforcement entity.

(d) A photograph of the applicant and a full set of fingerprints.

(e) A statement that he is not licensed to practice law in the State of Mississippi or any other state and that no attorney or any convicted felon has any interest in his application, either directly or indirectly.

(f) Any other information as may be required by this chapter or by the department.

(g) In the case of a professional bail agent, a statement that he will actively engage in the bail bond business.

(h) In the case of a soliciting bail agent, a statement that he will be employed or used by only one (1) professional bail agent and that the professional bail agent will supervise his work and be responsible for his conduct in his work. A professional bail agent shall sign the application of each soliciting bail agent employed or used by him.

Each application or filing made under this section shall include the Social Security number(s) of the applicant in accordance with Section 93-11-64, Mississippi Code of 1972.

SECTION 4. Section 83-39-9, Mississippi Code of 1972, is amended as follows:

83-39-9. The department upon receipt of the license application, the required fee, and proof of good moral character and, in the case of a professional bail agent, an approved qualification bond in the required amount, shall issue to the applicant a license to do business as a professional bail agent, soliciting bail agent or bail enforcement agent as the case may be.

No licensed professional bail agent shall have in his employ in the bail bond business any person who could not qualify for a license under this chapter, including a relative of a law enforcement official or a relative of an employee of a law enforcement official or a law enforcement entity, nor shall any licensed professional bail agent have as a partner or associate in such business any person who could not so qualify, including a relative of a law enforcement official or a relative of an employee of a law enforcement official or a law enforcement entity.

SECTION 5. Section 83-39-15, Mississippi Code of 1972, is amended as follows:

83-39-15. (1) The department may deny, suspend, revoke or refuse to renew, as may be appropriate, the license of any person engaged in the business of professional bail agent, soliciting bail agent, or bail enforcement agent for any of the following reasons:

(a) Any cause for which the issuance of the license would have been refused had it then existed and been known to the department.

(b) Failure to post a qualification bond in the required amount with the department during the period the person is engaged in the business within this state or, if the bond has been posted, the forfeiture or cancellation of the bond.

(c) Material misstatement, misrepresentation or fraud in obtaining the license.

(d) Willful failure to comply with, or willful violation of, any provision of this chapter or of any proper order, rule or regulation of the department or any court of this state.

(e) Conviction of felony or crime involving moral turpitude.

(f) Default in payment to the court should any bond issued by such bail agent be forfeited by order of the court.

(g) Being engaged as a law enforcement or judicial official or attorney or being a relative of a law enforcement official or a relative of an employee of a law enforcement official or a law enforcement entity.

(2) In addition to the grounds specified in subsection (1) of this section, the department shall be authorized to suspend the license, registration or permit of any person for being out of compliance with an order for support, as defined in Section 93-11-153. The procedure for suspension of a license, registration or permit for being out of compliance with an order for support, and the procedure for the reissuance or reinstatement of a license, registration or permit suspended for that purpose, and the payment of any fees for the reissuance or reinstatement of a license, registration or permit suspended for that purpose, shall be governed by Section 93-11-157 or 93-11-163, as the case may be. If there is any conflict between any provision of Section 93-11-157 or 93-11-163 and any provision of this chapter, the provisions of Section 93-11-157 or 93-11-163, as the case may be, shall control.

SECTION 6. This act shall take effect and be in force from and after July 1, 2000.