US LAWS, STATUTES & CODES ON-LINE

US Supreme Court Decisions On-Line | US Laws



§ 9306. —  Surety corporations acting outside area of incorporation and place of principal office.



[Laws in effect as of January 7, 2003]
[Document not affected by Public Laws enacted between
  January 7, 2003 and December 19, 2003]
[CITE: 31USC9306]

 
                       TITLE 31--MONEY AND FINANCE
 
                       SUBTITLE VI--MISCELLANEOUS
 
                  CHAPTER 93--SURETIES AND SURETY BONDS
 
Sec. 9306. Surety corporations acting outside area of 
        incorporation and place of principal office
        
    (a) A surety corporation may provide a surety bond under section 
9304 of this title in a judicial district outside the State, the 
District of Columbia, or a territory or possession of the United States 
under whose laws it was incorporated and in which its principal office 
is located only if the corporation has a resident agent for service of 
process for that district. The resident agent--
        (1) may be an official of the State, the District of Columbia, 
    the territory or possession in which the court sits who is 
    authorized or appointed under the law of the State, District, 
    territory or possession to receive service of process on the 
    corporation; or
        (2) may be an individual who resides in the jurisdiction of the 
    district court for the district in which a surety bond is to be 
    provided and who is appointed by the corporation as provided in 
    subsection (b) \1\
---------------------------------------------------------------------------
    \1\ So in original. Probably should be followed by a period.

    (b) If the surety corporation meets the requirement of subsection 
(a) by appointing an individual under subsection (a)(2), the surety 
corporation shall file a certified copy of the power of attorney with 
the clerk of the district court for the district in which a surety bond 
is to be given at each place the court sits. A copy of the power of 
attorney may be used as evidence in a civil action under section 9307 of 
this title.
    (c)(1) If a resident agent is removed, resigns, dies, or becomes 
disabled, the surety corporation shall appoint another agent as 
described in this section.
    (2) Until an appointment is made under paragraph (1) of this 
subsection or during an absence of an agent from the district in which 
the surety bond is given, service of process may be made on the clerk of 
the court in which a civil action against the corporation is brought. 
The official serving process on the clerk of the court--
            (A) immediately shall mail a copy of the process to the 
        corporation; and
            (B) shall state in the official's return that the official 
        served the process on the clerk of the court.

    (3) A judgment or order of a court entered or made after service of 
process under this section is as valid as if the corporation were served 
in the judicial district of the court.

(Pub. L. 97-258, Sept. 13, 1982, 96 Stat. 1048; Pub. L. 106-113, div. B, 
Sec. 1000(a)(9) [title V, Sec. 5007], Nov. 29, 1999, 113 Stat. 1536, 
1501A-594.)

                                          Historical and Revision Notes
----------------------------------------------------------------------------------------------------------------
           Revised Section                   Source (U.S. Code)                Source (Statutes at Large)
----------------------------------------------------------------------------------------------------------------
9306.................................  6:7.
----------------------------------------------------------------------------------------------------------------

    In subsection (a), before clause (1), the words ``in a judicial 
district'' are added for clarity. The word ``outside'' is substituted 
for ``beyond the limits'' to eliminate unnecessary words. The words 
``territory or possession of the United States'' are substituted for 
``Territory'' for consistency in the revised title. The word 
``resident'' is added for consistency.
    In subsection (b), the words ``duly . . . and authenticated'' are 
omitted as surplus. The words ``in which a surety bond is to be given'' 
are added for clarity and because of the restatement. The words ``the 
court sits'' are substituted for ``where a term of such court is or may 
be held'', and the words ``A copy of the power of attorney may be used 
as evidence in a civil action'' are substituted for ``which copy, or a 
certified copy thereof, shall be legal evidence in all controversies'', 
to eliminate unnecessary words and for clarity and consistency.
    In subsection (c)(1), the words ``a resident'' are substituted for 
``any such'' for clarity. The words ``becomes disabled'' are substituted 
for ``become insane, or otherwise incapable of acting'' to eliminate 
unnecessary words. The words ``the surety corporation shall'' are 
substituted for ``it shall be the duty of such company to'' to eliminate 
unnecessary words and for consistency. The words ``in his place'' are 
omitted as unnecessary.
    In subsection (c)(2), before clause (A), the words ``the district in 
which the surety bond is given'' are substituted for ``such district'', 
and the words ``a civil action against the corporation'' are substituted 
for ``such suit'', for clarity and consistency. The words ``with like 
effect as upon an agent appointed by the company'' are omitted as 
unnecessary. The words ``official serving'' are substituted for 
``officer executing such'' for consistency. Clause (2) is substituted 
for ``state such fact in his return'' for clarity.
    In subsection (c)(3), the words ``decree or'' are omitted as being 
included in ``order''. The words ``and binding'' are omitted as being 
included in ``valid''. The words ``as if the corporation were served in 
the judicial district of the court'' are substituted for ``on such 
company as if served with process in said district'' for clarity and 
consistency.


                               Amendments

    1999--Subsec. (a). Pub. L. 106-113, Sec. 1000(a)(9) [title V, 
Sec. 5007(1)], substituted ``has a resident agent for service of process 
for that district. The resident agent--'' and pars. (1) and (2) for 
``designates a person by written power of attorney to be the resident 
agent of the corporation for that district. The designated person--
        ``(1) may appear for the surety corporation;
        ``(2) may receive service of process for the corporation;
        ``(3) must reside in the jurisdiction of the district court for 
    the district in which a surety bond is to be provided; and
        ``(4) must be a domiciliary of the State, the District of 
    Columbia, territory, or possession in which the court sits.''
    Subsec. (b). Pub. L. 106-113, Sec. 1000(a)(9) [title V, 
Sec. 5007(2)], substituted ``If the surety corporation meets the 
requirement of subsection (a) by appointing an individual under 
subsection (a)(2), the'' for ``The''.

                  Section Referred to in Other Sections

    This section is referred to in sections 9304, 9305, 9307, 9308 of 
this title; title 5 section 8478; title 12 section 1766; title 29 
sections 502, 1112, 1363.



chanrobles.com.Com


ChanRobles Legal Resources:

ChanRobles On-Line Bar Review

ChanRobles Internet Bar Review : www.chanroblesbar.com

ChanRobles MCLE On-line

ChanRobles Lawnet Inc. - ChanRobles MCLE On-line : www.chanroblesmcleonline.com