E. The department shall prescribe and supply an application form that includes detailed instructions with respect to documentary evidence, pleadings, court rulings, the products of discovery in the underlying litigation and notice requirements to the judgment debtor under section 32-2188.01. The claimant must submit the claim on an application form supplied by the department. The application must include:

1. 1. The claimant's name and address.
2. 2. If the claimant is represented by an attorney, the attorney's name, business address and telephone number.
3. 3. The judgment debtor's name and address or, if unknown, the names and addresses of persons who may know the judgment debtor's present location.
4. 4. A detailed narrative statement of the facts explaining the allegations of the complaint on which the underlying judgment is based, with a copy of the contracts, receipts and other documents from the transaction, the last amended complaint, all existing recorded judgments, documentation of actual and direct out-of-pocket losses and any offsetting payment received and all collection efforts attempted.
5. 5. The identification of the judgment, the amount of the claim and an explanation of its computation, including an itemized list of actual and compensatory damages awarded and claimed.

6. 6. For the purpose of an application that is not based on a criminal restitution order, a statement by the claimant, signed under penalty of perjury, that the complaint on which the underlying judgment is based was prosecuted conscientiously and in good faith. For the purposes of this paragraph, "conscientiously and in good faith" means that all of the following apply:

   1. (a) No party that was potentially liable to the claimant in the underlying transaction was intentionally and without good cause omitted from the complaint.
   2. (b) No party named in the complaint who otherwise reasonably appeared capable of responding in damages was intentionally and without good cause dismissed from the complaint.
   3. (c) The claimant employed no other procedural means contrary to the diligent prosecution of the complaint in order to seek to qualify for the recovery fund.

7. 7. For the purpose of an application that is based on a criminal restitution order, all of the following statements by the claimant, signed under penalty of perjury:

   1. (a) The claimant has not intentionally and without good cause failed to pursue any person potentially liable to the claimant in the underlying transaction other than a defendant who is the subject of a criminal restitution order.
   2. (b) The claimant has not intentionally and without good cause failed to pursue in a civil action for damages all persons potentially liable to the claimant in the underlying transaction who otherwise reasonably appeared capable of responding in damages other than a defendant who is the subject of a criminal restitution order.
   3. (c) The claimant employed no other procedural means contrary to the diligent prosecution of the complaint in order to seek to qualify for the recovery fund.

8. 8. The following statements, signed under penalty of perjury, and information from the claimant:

   1. (a) The claimant is not a spouse of the judgment debtor or a personal representative of the spouse.
   2. (b) The claimant has complied with all of the requirements of this article.
   3. (c) The judgment underlying the claim meets the requirements of this article.
   4. (d) The claimant has recorded a certified copy of the superior court judgment or transcript of judgment pursuant to sections 33-961 and 33-962 in the county where the judgment was obtained and in the counties where all judgment debtors reside and has provided a copy of the recorded judgment to the commissioner.
   5. (e) The claimant has caused the judgment debtor to make discovery under oath, pursuant to section 12-1631, concerning the debtor's property.

   6. (f) The claimant has caused a writ of execution to be issued on the judgment and the officer executing the writ has made a return showing either:

      1. (i) That no personal or real property of the judgment debtor liable to be levied on in satisfaction of the judgment could be found, sold or applied.
      2. (ii) That the amount realized on the sale of the property, or as much of the property that was found, under the execution was insufficient to satisfy the judgment.
   7. (g) The claimant has caused a writ of garnishment to be issued to each known employer of the judgment debtor ascertained by the claimant, that each garnishee-defendant has complied with the respective writ and any judgment or order resulting from the writ and that the amount realized from all judgments against the garnishee-defendants was insufficient to satisfy the balance due on the judgment.
   8. (h) The claimant has deducted the following amounts from the actual or compensatory damages awarded by the court:
   9. (i) Any amount recovered or anticipated from the judgment debtor or debtors.
   10. (ii) Any amount recovered through collection efforts undertaken pursuant to subdivisions (d) through (g) of this paragraph and including an itemized valuation of the assets discovered and amounts applied.
   11. (iii) Any amount recovered or anticipated from bonding, insurance or title companies, including recovery of punitive damages.
   12. (iv) Any amount recovered or anticipated from in-court or out-of-court settlements.
   13. (v) Any amount of tax benefits accrued or taken as deductions on federal, state or local income tax returns.

F. If the claim is based on a judgment against a salesperson or broker and the claimant has not obtained a judgment against the salesperson's or broker's employing broker, if any, or has not diligently pursued the assets of the employing broker, the department shall deny the claim for failure to diligently pursue the assets of all other persons liable to the claimant in the transaction unless the claimant demonstrates, by clear and convincing evidence, that either:

1. 1. The salesperson or broker was not employed by a broker at the time of the transaction.
2. 2. The salesperson's or broker's employing broker would not have been liable to the claimant because the salesperson or broker acted outside the scope of employment in the transaction.