§ 32B-11-207. Bond for manufacturing license.

(1)

(a) A manufacturing licensee shall post a cash bond or surety bond in the penal sum of $10,000 payable to the department.

(b) A manufacturing licensee shall procure and maintain a bond required by this section for as long as the manufacturing licensee continues to operate as a manufacturing licensee.

(2) A bond posted under this section shall be:

(a) in a form approved by the attorney general; and

(b) conditioned upon a manufacturing licensee's faithful compliance with this title and the rules of the commission.

(3) If a surety bond posted by a manufacturing licensee under this section is cancelled due to a manufacturing licensee's negligence, the department may assess a $300 reinstatement fee.

(4) No part of a bond posted under this section may be withdrawn during the period the manufacturing license is in effect.

(5)

(a) A bond posted by a manufacturing licensee under this section may be forfeited if the manufacturing license is revoked.

(b) Notwithstanding Subsection (5)(a), the department may make a claim against a bond posted by a manufacturing licensee for money owed the department under this title without the commission first revoking the manufacturing license.

Enacted by Chapter 276, 2010 General Session