Utah Code 31A-35-603. Collateral security
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(1) A bail bond producer may accept collateral security in connection with a bail transaction, if the collateral security is reasonable in relation to the face amount of the bail bond.
Terms Used In Utah Code 31A-35-603
- Agency: means :(6)(a) a person other than an individual, including a sole proprietorship by which an individual does business under an assumed name; and(6)(b) an insurance organization licensed or required to be licensed under Section
31A-23a-301 ,31A-25-207 , or31A-26-209 . See Utah Code 31A-1-301- Assets: (1) The property comprising the estate of a deceased person, or (2) the property in a trust account.
- Bail: Security given for the release of a criminal defendant or witness from legal custody (usually in the form of money) to secure his/her appearance on the day and time appointed.
- Bail bond: means a bail bond insurance product for a specified monetary amount that is:
(1)(a) executed by a bail bond producer licensed in accordance with Section 31A-35-401; and(1)(b) issued to a court, magistrate, or authorized officer to secure:(1)(b)(i) the release of a person from incarceration; and(1)(b)(ii) the appearance of the released person at court hearings the person is required to attend. See Utah Code 31A-35-102- Bail bond agency: means any sole proprietor or entity that:
(2)(a) is licensed under Subsection 31A-35-404(1) or (2);(2)(b)(2)(b)(i) is the agent of a surety insurer that sells a bail bond in connection with judicial proceedings;(2)(b)(ii) pledges the assets of a letter of credit from a Utah depository institution for a bail bond in connection with judicial proceedings; or(2)(b)(iii) pledges personal or real property, or both, as security for a bail bond in connection with judicial proceedings; and(2)(c) receives or is promised money or other things of value for a service described in Subsection (2)(b). See Utah Code 31A-35-102- Bail bond producer: means an individual who:
(3)(a) is appointed by:(3)(a)(i) a surety insurer that sells bail bonds; or(3)(a)(ii) a bail bond agency licensed under this chapter;(3)(b) is appointed to execute or countersign undertakings of bail in connection with judicial proceedings; and(3)(c) receives or is promised money or other things of value for engaging in an act described in Subsection (3)(b). See Utah Code 31A-35-102- Defendant: In a civil suit, the person complained against; in a criminal case, the person accused of the crime.
- Evidence: Information presented in testimony or in documents that is used to persuade the fact finder (judge or jury) to decide the case for one side or the other.
- Fiduciary: A trustee, executor, or administrator.
- Order: means an order of the commissioner. See Utah Code 31A-1-301
- Person: includes :
(146)(a) an individual;(146)(b) a partnership;(146)(c) a corporation;(146)(d) an incorporated or unincorporated association;(146)(e) a joint stock company;(146)(f) a trust;(146)(g) a limited liability company;(146)(h) a reciprocal;(146)(i) a syndicate; or(146)(j) another similar entity or combination of entities acting in concert. See Utah Code 31A-1-301- producer: means a person licensed or required to be licensed under the laws of this state to sell, solicit, or negotiate insurance. See Utah Code 31A-1-301
- Property: includes both real and personal property. See Utah Code 68-3-12.5
- Security: means a:
(176)(a)(i) note;(176)(a)(ii) stock;(176)(a)(iii) bond;(176)(a)(iv) debenture;(176)(a)(v) evidence of indebtedness;(176)(a)(vi) certificate of interest or participation in a profit-sharing agreement;(176)(a)(vii) collateral-trust certificate;(176)(a)(viii) preorganization certificate or subscription;(176)(a)(ix) transferable share;(176)(a)(x) investment contract;(176)(a)(xi) voting trust certificate;(176)(a)(xii) certificate of deposit for a security;(176)(a)(xiii) certificate of interest of participation in an oil, gas, or mining title or lease or in payments out of production under such a title or lease;(176)(a)(xiv) commodity contract or commodity option;(176)(a)(xv) certificate of interest or participation in, temporary or interim certificate for, receipt for, guarantee of, or warrant or right to subscribe to or purchase any of the items listed in Subsections (176)(a)(i) through (xiv); or(176)(a)(xvi) another interest or instrument commonly known as a security. See Utah Code 31A-1-301- State: when applied to the different parts of the United States, includes a state, district, or territory of the United States. See Utah Code 68-3-12.5
- Trust account: A general term that covers all types of accounts in a trust department, such as estates, guardianships, and agencies. Source: OCC
(2)(2)(a) The collateral security described in Subsection (1) shall be received by the bail bond producer in the bail bond producer’s fiduciary capacity.(2)(b) Before any judgment of forfeiture of bail, the bail bond producer shall keep the collateral separate and apart from any other funds or assets of the licensee.(2)(c) All cash collateral shall be recorded and deposited into the bail bond agency‘s trust account within three business days after receipt of the cash.(2)(d) All personal property and merchandise collateral shall be recorded in the bail bond agency‘s merchandise log within three business days after receipt of the merchandise.(3)(3)(a) Any collateral that is deposited with a bail bond producer or bail bond agency shall be returned to the person who deposited it within 10 days after the return is requested by the person who deposited it if:(3)(a)(i) the bail bond has been exonerated; and(3)(a)(ii) all fees owed to the bail bond producer or bail bond agency have been paid.(3)(b) A certified copy of the minute order from the court stating the bail or undertaking was ordered exonerated is prima facie evidence of exoneration or termination of liability.(4)(4)(a) If a bail bond producer accepts collateral, the bail bond producer shall give a written receipt for the collateral.(4)(b) The receipt required by Subsection (4)(a) shall include a fully detailed account of the collateral received.(5) Upon return of collateral to the person who posted it, if any amount has been deducted by the bail bond agency or bail bond producer as expense, the bail bond agency or bail bond producer shall:(5)(a) include with the returned collateral an itemized statement of all expenses deducted from the collateral; and(5)(b) maintain a copy of the statement required by Subsection (5)(a) in the records of the bail bond agency or bail bond producer.(6) If the bail bond secured by the collateral is forfeited and the bail bond producer or bail bond agency retains possession of the collateral in payment of the forfeiture or otherwise disposes of the collateral, the person retaining possession or disposing of the property shall maintain a written record of the collateral, including any disposition.(7)(7)(a) If a document that conveys title to real property is used as collateral in a bail bond transaction, the document shall state on its face that it is executed as part of a security transaction.(7)(b) If the document described in Subsection (7)(a) is recorded, the bail bond producer or the bail bond agency shall:(7)(b)(i) execute a reconveyance of the property, executed so that the reconveyance can be recorded; and(7)(b)(ii) promptly deliver the reconveyance document to:(7)(b)(ii)(A) the person executing the original conveyance; or(7)(b)(ii)(B) the heirs, legal representative, or successor in interest of the person described in Subsection (7)(b)(ii)(A).(8) The bail bond agency shall maintain an itemized list of all merchandise collateral, which shall include:(8)(a) the date of the bail bond;(8)(b) the full name of the defendant;(8)(c) the full name of each cosigner;(8)(d) a detailed description of the collateral;(8)(e) the amount of bail;(8)(f) the approximate value of the merchandise; and(8)(g) the final disposition of the merchandise.