Subd. 1. Contents of contract.

Licensees that conduct licensed activities through authorized delegates shall authorize each delegate to operate under an express written contract that, for contracts entered into after August 1, 2001, provide the following:

1. (1) that the licensee appoint the person as its delegate with authority to engage in money transmission on behalf of the licensee;
2. (2) that neither a licensee nor an authorized delegate authorize subdelegates without the written consent of the commissioner; and
3. (3) that licensees are subject to supervision and regulation by the commissioner and that as a part of that supervision and regulation, the commissioner may require the licensee to cancel an authorized delegate contract as a result of a violation of section 53B.21.

Subd. 2. Termination of authorized delegate contract.

Upon termination of any authorized delegate contract, the licensee must notify the commissioner within a reasonable amount of time of the termination.

Subd. 3. Exempt entities.

For purposes of this section, "licensee" includes exempt entities.