Ala. Admin. Code r. 153-X-6-.01

Current through Register Vol. 42, No. 11, August 30, 2024

Section 153-X-6-.01 - Collateral

(1) When a company or licensee takes physical possession of collateral, a pre-numbered written receipt must be given to the client reflecting the following:

(a) The name, address, and telephone number of the company;

(b) The name, date, and signature of the client giving collateral;

(c) The case numbers for which collateral is posted;

(d) A description and approximate value of collateral received:

(e) The purpose for collateral received; and

(f) The name and signature of the licensee.

(2) Any company or licensee who receives collateral in connection with a contract for bail shall receive such collateral in a fiduciary capacity. Prior to any forfeiture of bail, the company or license shall keep collateral separate and apart from any other funds or assets of such company or licensee or any other licensee.

(3) At no time shall collateral be converted as an asset or for use of the company or the licensee or other licensee prior to any forfeiture, granted or executed.

(4) Promissory notes between a licensee or any other licensee and/or a company and a client are not considered collateral.

(5) Collateral maintained by a company and/or licensee shall be returned to the client within thirty (30) calendar days of adjudication of the client.

(6) If the amount of the bond exceeds the value of the collateral, that excess amount shall be considered unsecured.

Ala. Admin. Code r. 153-X-6-.01

Adopted by Alabama Administrative Monthly Volume XXXVIII, Issue No. 09, June 30, 2020, eff. 8/14/2020.

Author: Alabama Professional Bail Bonding Board

Statutory Authority:Code of Ala. 1975, § 15-13-207.