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ENGROSSED SENATE BILL 6544
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AS AMENDED BY THE HOUSE
Passed Legislature - 1996 Regular Session
State of Washington 54th Legislature 1996
Regular Session
By
Read first time 01/17/96. Referred to Committee
on Labor, Commerce & Trade.
Regulating bail bond agency branch
offices.
AN ACT Relating to bail
bond agency branch offices; amending RCW 18.185.010 and 18.185.100; and adding
new sections to chapter 18.185 RCW.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF
WASHINGTON:
Sec. 1. RCW 18.185.010 and 1993
c 260 s 2 are each amended to read as follows:
Unless the context
clearly requires otherwise, the definitions in this section apply throughout
this chapter.
(1)
"Department" means the department of licensing.
(2)
"Director" means the director of licensing.
(3) "Collateral or
security" means property of any kind given as security to obtain a bail
bond.
(4) "Bail bond
agency" means a business that sells and issues corporate surety bail bonds
or that provides security in the form of personal or real property to insure
the appearance of a criminal defendant before the courts of this state or the
United States.
(5) "Qualified
agent" means an owner, sole proprietor, partner, manager, officer, or
chief operating officer of a corporation who meets the requirements set forth
in this chapter for obtaining a bail bond agency license.
(6) "Bail bond
agent" means a person who is employed by a bail bond agency and engages in
the sale or issuance of bail bonds, but does not mean a clerical, secretarial,
or other support person who does not participate in the sale or issuance of
bail bonds.
(7)
"Licensee" means a bail bond agency or a bail bond agent or both.
(8) "Branch
office" means any office physically separated from the principal place of
business of the licensee from which the licensee or an employee or agents
conduct any activity meeting the criteria of bail bond agency.
NEW SECTION. Sec.
2. A new section is added
to chapter 18.185 RCW to read as follows:
A branch office may not
operate under a business name other than the name of the principal bail bond
agency and must have a qualified bail bond agent as manager of the office. The
qualified agent shall comply with the provisions of RCW 18.185.100.
Sec. 3. RCW 18.185.100 and 1993
c 260 s 11 are each amended to read as follows:
(1) Every qualified
agent shall keep adequate records for three years of all collateral and
security received, all trust accounts required by this section, and all bail
bond transactions handled by the bail bond agency, as specified by rule. The
records shall be open to inspection without notice by the director or
authorized representatives of the director.
(2) Every qualified
agent who receives collateral or security is a fiduciary of the property and
shall keep adequate records for three years of the receipt, safekeeping, and
disposition of the collateral or security. Every qualified agent shall
maintain a trust account in a federally insured financial institution located
in this state. All moneys, including cash, checks, money orders, wire
transfers, and credit card sales drafts, received as collateral or security or
otherwise held for a bail bond agency's client shall be deposited in the trust
account not later than the third banking day following receipt of the funds or
money. A qualified agent shall not in any way encumber the corpus of the trust
account or commingle any other moneys with moneys properly maintained in the
trust account. Each qualified agent required to maintain a trust account shall
report annually under oath to the director the account number and balance of
the trust account, and the name and address of the institution that holds the
trust account, and shall report to the director within ten business days
whenever the trust account is changed or relocated or a new trust account is opened.
(3) Whenever a bail
bond is exonerated by the court, the ((bail bond agency)) qualified
agent shall, within five business days after written notification of
exoneration and upon written demand, return all collateral or security
to the person entitled thereto.
NEW SECTION. Sec.
4. A new section is added
to chapter 18.185 RCW to read as follows:
If a licensee maintains
a branch office, the licensee shall not operate that branch office until a
branch office license has been received from the director. A bail bond agency
may apply to the director for authority to establish one or more branch offices
under the same name as the main office upon the payment of a fee as prescribed
by the director by rule. The director shall issue a separate license for each
branch office showing the location of each branch which shall be prominently
displayed in the office for which it is issued. A corporation, partnership, or
sole proprietorship shall not establish more than one principal office within
this state.
