75-44-31 - Amount of warehouseman's bond; blanket bonds; increasing amount of bond.
§ 75-44-31. Amount of warehouseman's bond; blanket bonds; increasing amount of bond.
(1) The amount of bond to be furnished for each grain warehouse shall be fixed at a rate of twenty-five cents (25) per bushel for the first one million (1,000,000) bushels of licensed capacity; twenty cents (20) per bushel for the next one million (1,000,000) bushels of licensed capacity; and fifteen cents (15) per bushel for all licensed capacity over two million (2,000,000) bushels; provided that in no case shall the amount of the bond be less than fifteen thousand dollars ($15,000.00) or more than one million dollars ($1,000,000.00), except as prescribed in subsection (3) of this section. The licensed capacity shall be equal to the maximum number of bushels of grain that the grain warehouse can accommodate for storage. In no event shall the liability of the surety accumulate for each successive license period during which this bond is in force, but shall be limited in the aggregate to the bond amount or changed by appropriate rider or endorsement.
(2) A grain warehouseman who is licensed or is applying for licenses to operate two (2) or more grain warehouses may give a single bond meeting the requirements of this chapter to cover all such grain warehouses within the state. In such cases all grain warehouses to be covered by the bond shall be deemed to be one (1) warehouse for purposes of determining the amount of bond required under subsection (1) of this section.
(3) In case of a deficiency in the net assets required by Section 75-44-21, there shall be added to the amount of the bond determined in accordance with subsection (1) of this section an amount equal to such deficiency. In any other case in which the commissioner finds that conditions exist which warrant requiring additional bond, there shall be added to the amount of bond such further amount as is determined to be reasonable by the commissioner.
Sources: Laws, 1977, ch. 409, § 16; Laws, 1981, ch. 354, § 13; Laws, 1982, ch. 367, § 2, eff from and after July 1, 1982.