Current through Register Vol. 46, No. 39, September 25, 2024
(a) A bail
agent and an insurer or charitable bail organization shall be liable for the
return of all collateral received following the exoneration of a bail unless
there is a forfeiture that is not discharged pursuant to Criminal Procedure Law
section 540.10.2.
(b) The
collateral required by a bail agent, insurer, or charitable bail organization
shall be reasonable in relation to the amount of the bail. Collateral equal to
or less than 10 percent of the bail amount is presumed to be
reasonable.
(c)
(1) A bail agent shall not use collateral for
personal benefit or gain.
(2) Prior
to any forfeiture, a bail agent shall keep the collateral separate and apart
from any other funds or assets of the bail agent.
(3) A bail agent shall receive and hold any
non-cash collateral in the insurer's or charitable bail organization's name,
and any cash accepted as collateral shall be promptly remitted to and held by
the insurer or charitable bail organization pursuant to section
28.12 of this Part.
(d)
(1) After there has been an exoneration, a
bail agent shall return the collateral to the indemnitor no later than 45 days
after receipt of notice of exoneration or from discharge of forfeiture under
Criminal Procedure Law section 540.10.2. The bail agent shall assist the
indemnitor in obtaining an order of exoneration.
(2) If a bail agent fails to return
collateral to the indemnitor in accordance with paragraph (1) of this
subdivision, the insurer or charitable bail organization shall return the
actual collateral to the indemnitor or, if the insurer or charitable bail
organization cannot access the actual collateral, the insurer or charitable
bail organization shall pay the indemnitor the value of the actual collateral
as set forth in the receipt required by section
28.17 of this Part, within 60 days
of receipt of notification from the bail agent or indemnitor of the bail
agent's failure to comply with paragraph (1) of this subdivision.
(e)
(1) If forfeiture occurs and is not
discharged under Criminal Procedure Law section 540.10.2, a bail agent,
insurer, or charitable bail organization may, upon giving the indemnitor and
principal at least 30 days written notice of intent, convert non-cash
collateral into cash to satisfy the forfeiture. The bail agent, insurer, or
charitable bail organization shall mail or deliver the notice to the last known
addresses of the indemnitor and principal, and shall retain in the file proof
of mailing or delivery in accordance with section
28.19 of this Part.
(2) A bail agent, insurer, or charitable bail
organization shall convert non-cash collateral to cash within a reasonable
period of time and return to the indemnitor any amount in excess of the bail
amount.
(f) In the event
the amount ordered paid to the court in a final order of forfeiture is less
than the value of the collateral as set forth in the receipt required by
section 28.17 of this Part, the remaining
collateral shall be returned to the indemnitor pursuant to subdivisions (d) and
(e) of this section.
