CA Bail Bond flashcards
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32 cards. Read the term and the definition here. The deck at the top of this page is optional.
- Bail Bond
- A written undertaking by a surety insurer, executed through a licensed bail agent, guaranteeing a defendant's appearance in court and payment if the defendant fails to appear.
- Bail Agent License
- A California Department of Insurance license authorizing a person to solicit, negotiate, and execute bail bonds on behalf of an appointed surety insurer.
- Surety Insurer
- An insurer authorized in California to issue bail bonds; the bail agent acts under the insurer's appointment and authority when posting a bond.
- Insurance Commissioner
- The California official who administers the Insurance Code, licenses bail agents, investigates misconduct, and may suspend or revoke bail licenses.
- Bail Bond Regulatory Act
- California Insurance Code chapter governing bail bond licensing and conduct; it sets standards for bail agents and authorizes discipline by the Insurance Commissioner.
- Premium Cap
- California law generally limits bail bond premium to 10 percent of the bail amount; any additional charge must be an authorized actual expense, not disguised premium.
- Appointment
- A surety insurer's written authorization allowing a licensed bail agent to execute bonds for that insurer; acting without appointment is unlawful.
- Bail Application
- The form completed before posting bail that identifies the defendant, bail amount, indemnitor, premium, fees, and collateral terms; it supports the bond and records.
- Required Disclosures
- Notices given to the indemnitor and defendant explaining premium, fees, collateral, exoneration, return of collateral, and how to complain to the California Department of Insurance.
- Bond Copy
- A copy of the executed bail undertaking that the bail agent must provide to the client after posting, showing the court, case, bail amount, and surety.
- Exoneration
- Release of the surety's liability on a bail bond, typically after the defendant appears as required or the court discharges the bond.
- Forfeiture
- A court order declaring the bail bond forfeited when the defendant fails to appear; it starts the statutory period for surrender or payment.
- Surrender of Principal
- The lawful delivery of a defendant into custody by a bail agent or surety to discharge or reduce liability on the bond.
- Jail Solicitation
- Directly or indirectly soliciting bail business in or near a jail or courthouse; California bail law restricts this practice to protect detainees.
- Collateral
- Money or property pledged by an indemnitor to secure the bail agent or surety against loss if the defendant fails to appear and the bond is forfeited.
- Collateral Receipt
- A written document the bail agent gives the depositor identifying pledged property, its condition and stated value, and the terms for its return.
- Trust Holding of Collateral
- Collateral must be held in a fiduciary capacity and not commingled with the bail agent's business or personal funds; records must identify each owner.
- Return of Collateral
- After exoneration, the bail agent must return pledged property promptly, generally within the statutory period, less only authorized charges or amounts owed.
- Commercially Reasonable Sale
- If forfeited collateral must be liquidated, the sale must use fair market methods, and any surplus above the amount owed must be returned to the depositor.
- Real Property Collateral
- Land or a home pledged to secure a bail bond; the agent should verify title, value, and encumbrances and document the lien or security interest properly.
- Earned Premium
- Bail premium is generally earned when the bond is executed and posted; it is not refundable merely because the defendant later appears or is surrendered.
- Unearned Premium Refund
- If a bail bond is not accepted or never posted, the bail agent must refund premium that was not earned, along with any unauthorized overcharge.
- Premium Receipt
- A written acknowledgment for money received, showing the amount, date, payer, bail bond, and whether payment is premium, expense, or collateral.
- Five-Year Records
- California bail licensees must keep transaction records, including applications, receipts, collateral documents, and ledgers, for at least five years for examination.
- Bond Register
- A chronological log of bail bonds written by the agency, listing defendant, court, case number, bail amount, premium, surety, and disposition.
- Trust Account
- A separate fiduciary bank account used for client premium and collateral funds; it prevents commingling and permits accurate accounting and return of funds.
- Fiduciary Duty
- A bail licensee must act in good faith for the principal, indemnitor, and surety, safeguard funds and collateral, and account honestly for all money handled.
- Rebating
- Giving back part of the premium or an unlawful inducement to obtain bail business; California prohibits rebating as an unfair bail practice.
- Commission Splitting
- Sharing bail bond commissions or fees with an unlicensed person or entity; this is generally prohibited and can lead to license discipline.
- Commingling
- Mixing client premium or collateral funds with the licensee's own or business funds; prohibited because it risks loss and prevents accurate accounting.
- False Advertising
- Misrepresenting bail services, premiums, fees, collateral terms, or outcomes in ads or solicitations; it is an unfair practice subject to discipline.
- Unauthorized Fees
- Charging amounts beyond the lawful premium and authorized actual expenses; bail licensees may not invent fees to increase compensation.