§ 17323. — 17323. (Amended by Stats. 1990, Ch. 1431, Sec. 2.)

California § 17323.

• Jurisdiction: California
• Code FIN: Financial Code - FIN
• Div. 6.: DIVISION 6. ESCROW AGENTS
• Ch. 2.5.: CHAPTER 2.5. Escrow Agents’ Fidelity Corporation
• Art. 3.: ARTICLE 3. Membership Fee and Assessments

Text

(a)
In the event any member fails to pay an assessment when due, Fidelity Corporation shall by written demand addressed to the member request the payment of the assessment within 30 days of the demand letter. If the member fails to pay an assessment, the commissioner may issue an order pursuant to subdivision (b).
(b)
If a member fails to pay the assessment, or any applicable late fee, the commissioner may by order summarily suspend the license issued to the company. If after the order is made, a request for a hearing is filed in writing and a hearing is not held
within 60 days thereafter, the order is deemed rescinded as of its effective date. During any period when its license is suspended, a company shall not conduct business pursuant to this division, except as may be permitted by order of the commissioner. However, the suspension of a license shall not affect the powers of the commissioner as provided in this division.
(c)
Fidelity Corporation may bring an action at law or in equity against the member to recover any assessment or fees.
(d)
Fidelity Corporation may be awarded costs and reasonable attorney’s fees, if it prevails in any action against a member, or against a third party, except the commissioner, to enforce a claim against the bond or other security posted by the member pursuant to Section 17202, or in any action against a member pursuant to subdivision (c). Those costs and attorney’s fees may be awarded as an item of
costs, as provided for in paragraph (10) of subdivision (a) and paragraph (5) of subdivision (c) of Section 1033.5 of the Code of Civil Procedure, provided that the payment of the costs and attorney’s fees will not cause the member to be in violation of Section 17202, 17202.1, or 17210.

Legislative History

Amended by Stats. 1990, Ch. 1431, Sec. 2.