1. A. Tuition prepayment contract cancellation shall be an action by the director.

2. B. Cancellation will occur under the following circumstances:

   1. 1. A determination of fraud or any misrepresentation on the part of the contributor to include, but not be limited to, misrepresentation of the residency of a designated beneficiary at the time of application;
   2. 2. The nonpayment of any required payments due within the established time frames;
   3. 3. The designated beneficiary reached his or her thirtieth (30^th) birthday prior to exhausting the benefits of the tuition prepayment contract; or
   4. 4. Any other event including, but not limited to, a determination of fiscal or actuarial soundness of the Fund, as may be determined by the director.

HISTORY: Added by State Register Volume 22, Issue No. 6, Part 1, eff June 26, 1998.