Blanks Filled After Signature and a Withheld Title
On June 2, a Montana bail bond producer posts a $30,000 bond for Tanya White, charged with felony theft. White’s father, Gerald, signs a one-page indemnity agreement. The form has blank spaces for collateral and premium; the producer writes “$3,000 premium” and “collateral: 2018 pickup” after Gerald signs. Gerald is given no copy of the bond, no premium receipt, and no collateral receipt. The producer also has Gerald sign a “power of attorney to confess judgment” clause printed in 6-point type at the bottom. The pickup’s title is left in Gerald’s name, but the producer keeps the title certificate in his desk drawer. White appears for all hearings; the case is dismissed 14 months later. Gerald asks for the title back and disputes the $3,000 premium, saying he was told the charge was “about $1,500.” The producer says the signed form is enforceable regardless of blanks and refuses to return the title until Gerald pays a $500 “storage fee.”
1. Evaluate the enforceability of the indemnity agreement and the confessed-judgment clause.
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The agreement is vulnerable. A signature on a form with material blanks-premium and collateral-does not by itself prove the signer agreed to whatever the producer later inserts. The producer must show that Gerald authorized the specific amounts or that the terms were disclosed before signing. Filling in a collateral pledge after signature is especially risky because it takes a property interest. The tiny confession-of-judgment clause is also likely unenforceable: such clauses are disfavored in consumer contracts, require clear disclosure, and may be treated as an unfair trade practice. A court would likely enforce only the reasonable premium actually earned and any clearly agreed collateral terms, not the late-added pickup pledge or the confessed judgment. The producer’s refusal to return the title until a $500 “storage fee” is paid is coercive and not supported by a written agreement. The producer should not rely on the form as a complete defense.
2. What documents and receipts must the producer provide, and what are the consequences of failing to do so?
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He should have given Gerald: a complete copy of the bond or undertaking; a receipt for the $3,000 premium showing the bond, defendant, amount, and rate; a collateral receipt identifying the 2018 pickup, its owner, storage location, and return conditions; and a copy of the indemnity agreement as signed. Montana’s bail bond regime depends on written authorization and trust handling, so missing receipts are not mere paperwork. Without them, the producer cannot prove the collateral was held in trust or that the premium was at the filed rate. The failures support discipline for recordkeeping and may support a consumer-protection claim. The title certificate is Gerald’s property; the producer must account for it and return it when the obligation ends. Any claimed fee must be in a signed agreement and tied to actual cost, not invented after the fact.
3. How should the collateral and premium be handled now?
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Premium is generally earned when the bond is posted, so the producer may keep the $3,000 if it equals the filed rate and was disclosed, even though the case was dismissed. But the producer must prove the rate; Gerald’s claim that he was told “about $1,500” creates a disclosure dispute. The pickup title is collateral, not a fee. Once the case is dismissed and the bond exonerated, the producer must return the title promptly and provide a written accounting. He may not hold it for a $500 storage fee unless a signed agreement specifically authorized that fee and the fee is reasonable and actually incurred. He should return the title, document its condition, and reserve only genuine unpaid obligations. If he cannot justify the premium difference, he should refund the excess. He should also correct the file with a proper collateral receipt and avoid any collection effort that depends on the defective confessed-judgment clause.