Section 12 AAC 21.160 - Violation of bonding or insurance requirements(a)If a contractor's bonding or insurance has been cancelled, reduced by judgment, or is no longer in effect for any reason, and it is not reinstated within 20 days after the department gives the contractor a written warning, the department may give the contractor written notice under AS 08.18.121(f) prohibiting further action as a contractor until submission of evidence acceptable to the department showing that the violation of the bonding or insurance requirements of AS 08.18.071 or 08.18.101 has been corrected. Both the written demand and the deactivation notice will be sent to the contractor's current address under 12 AAC 02.900. Upon delivery or a documented attempt to deliver a deactivation notice under AS 08.18.121(f) and this subsection to the current address of a contractor, the contractor shall immediately stop all work as a contractor. The possible consequences of failure to stop all work include citation under AS 08.18.117, injunction and civil penalty under AS 08.18.131, and criminal prosecution under AS 08.18.141.(b) In addition to a deactivation notice under AS 08.18.121(f) and (a) of this section, the department may , under AS 08.18.121(a) - (e), institute proceedings to revoke or suspend the registration of a contractor whose bonding or insurance required by AS 08.18.071 and 08.18.101 is no longer in effect. The department may also deny the renewal of the contractor's registration. Revocation, suspension, and denial of renewal of contractor's registration are covered by the Administrative Procedure Act (AS 44.62). The department may also issue a cease and desist order under AS 08.01.087(b)(1), issue a citation under AS 08.18.117, institute an action for an injunction under AS 08.18.131, seek criminal prosecution under AS 08.18.141, deny renewal of registration, or any combination of these actions.Eff. 4/3/88, Register 105; am 8/8/2021, Register 239, October 2021Authority:AS 08.01.080
AS 08.18.071
AS 08.18.121