- (a) Surety bonds furnished in compliance with the Act shall be continuous and shall provide for the issuing company to give the department 30 days written notice of cancellation.
- (b) The surety bond shall be issued by a company authorized to do business in the State of Texas, conform to the Texas Insurance Code, and be on a form provided by the department.
- (c) An owner may deposit a cash performance alternative of $10,000 in lieu of the bond. The cash performance alternative shall be an irrevocable assignment of security issued by a national or state bank, or savings and loan association, subject to the express approval of the commissioner. Each assignment or cash deposit shall remain in effect for a period of three years, beginning with the date of issuance of the certificate of registration. Forms for filing an assignment of security shall be provided by the department upon request.
- (d) Failure to maintain the bond or assignment for the period required by the Act will be cause for the commissioner to call an administrative hearing to suspend or revoke the talent agency's certificate of registration.
Source Note:The provisions of this §78.40 adopted to be effective March 1, 1994, 19 TexReg 1102.