Rule 375-5-2-.24. Contractual Bond Requirements
- (1) No driver training school may operate in the State of Georgia unless it provides and files with the Department a continuous surety bond in the principal sum of two thousand five hundred dollars ($2,500.00) for the protection of the contractual rights of students, written by a company authorized to do business in the State of Georgia.
- (2) A driver training school may submit an individual surety bond in the amount of $2,500.00 or, if more than one school shares common ownership, or secondary schools located in the same county, submit a surety bond providing coverage in the amount of $2,500.00 per location (i.e., for ten schools, a surety bond in the amount of $25,000.00). If this option is elected the certificate must clearly demonstrate coverage for each school for which coverage is to be provided.
- (3) The school shall submit to the Department the contract, or specimen thereof, the obligations of which are guaranteed by the bond.
- (4) The surety on any such bond may cancel the bond providing thirty (30) days' written notice to the Department.
- (5) If at any time said surety bond is not valid and in force, the license of the school of program shall be deemed suspended by operation of low until a valid surety company bond is again in force.
Authority: O.C.G.A. Secs. 43-13-4, 43-13-8.
History. Original Rule entitled "Contractual Bond Requirements" adopted. F. Oct. 25, 2004; eff. Nov. 14, 2004.
Amended: F. Sept. 11, 2006; eff. Oct. 1, 2006.