(a) An applicant for a dealer registration under AS 08.66.010 shall file with the application and shall maintain in force while registered a bond in favor of the state that is executed by a surety approved by the commissioner. The amount of the bond shall be $50,000, except that the amount of a bond for a dealer who sells only motorcycles shall be $25,000. The bond must be conditioned on the dealer's
(1) doing business in compliance with this chapter and the other laws of this state; and
(2) not committing fraud or making fraudulent representations in the course of doing business as a dealer.
(b) A surety may cancel the bond required by (a) of this section by giving notice in writing to the commissioner or the commissioner's designee. However, cancellation does not relieve a surety of liability arising before cancellation or a liability that has accrued on the bond before cancellation. The commissioner or the commissioner's designee shall retain the cancelled bond on file and may not relieve a surety of a liability arising before cancellation or accruing on the bond before cancellation.
(c) A bond filed under (a) of this section is valid for renewal of a dealer registration unless the surety has provided a written notice of cancellation to the commissioner.
(d) In this section, "commissioner" means the commissioner of administration.
Section: Previous 08.66.010 08.66.015 08.66.020 08.66.030 08.66.040 08.66.050 08.66.060 08.66.070 08.66.080 08.66.090 08.66.260 08.66.270 08.66.280 08.66.290 08.66.300 NextLast modified: November 15, 2016