Sec. 14-67. Qualifications of licensee; bond; fees. Solicitation of service contracts.
Sec. 14-67. Qualifications of licensee; bond; fees. Solicitation of service contracts. (a) No person, firm, association or corporation operating as an automobile club
or automobile association shall perform, or offer to perform, in this state for a stipulated
fee covering a certain period, any service relating to the protection and assistance of
automobile owners or drivers, other than insurance, without being licensed therefor by
the commissioner.
(b) If the commissioner is of the opinion that the applicant is reliable, entitled to
confidence and of sufficient financial responsibility, such applicant shall be granted a
license to perform such service in this state. The license shall expire annually on the
last day of June and such license may be renewed as long as the commissioner regards
such licensee as reliable, entitled to confidence and of sufficient financial responsibility.
(c) No license shall be granted under the provisions of this section unless the applicant deposits the sum of ten thousand dollars in cash or securities of a market value in
said amount in this state and approved by the commissioner, or in lieu thereof a surety
bond in like amount of a company legally authorized to do business in this state. Such
bond shall be in favor of and for the protection, use and benefit of all members of such
club or association and of all persons whose applications for such membership have
been accepted and who have secured a judgment against such licensee for failure to
perform its contract and which, after thirty days, remains unsatisfied, but in no event
shall any judgment recovered against any such licensee be satisfied under such bond
for more than one hundred dollars in any one action.
(d) The commissioner shall grant such a license if he has been satisfied that the
provisions of this section have been complied with and he may, after a hearing and for
cause, revoke such a license; and, if the licensee is aggrieved either by the commissioner's refusal to grant a license or his revocation of it, he may appeal from the commissioner's decision in accordance with the provisions of section 4-183.
(e) The fee for each such license or the renewal thereof shall be thirty-one dollars,
payable to the commissioner. On and after January 1, 2005, such fee shall be two hundred
fifty dollars.
(f) No person shall solicit or aid in the solicitation of another person to purchase
automobile club or automobile association service from any person, firm, association
or corporation which is not licensed under this section.
(g) No person shall, orally or in writing, misrepresent the terms, benefits or provisions of any automobile club or automobile association service contract issued or to be
issued by any person, firm, association or corporation.
(h) Any person, firm, association or corporation which violates any provision of
this section shall be fined not more than one hundred dollars or imprisoned not more
than thirty days or both.
(1949 Rev., S. 2405; 1961, P.A. 581, S. 16; 1967, P.A. 667; 1971, P.A. 870, S. 37; P.A. 76-436, S. 343, 681; P.A. 77-603, S. 33, 125; P.A. 84-254, S. 41, 62; P.A. 87-329, S. 15; June 30 Sp. Sess. P.A. 03-4, S. 28.)
History: 1961 act increased license fee in Subsec. (e); 1967 act amended Subsec. (b) to make licenses expire annually
on last day of June rather than one year from date of issuance; 1971 act replaced superior court with court of common
pleas in Subsec. (d), effective September 1, 1971, except that courts with cases pending retain jurisdiction unless pending
matters deemed transferable; P.A. 76-436 replaced court of common pleas with superior court and included reference to
judicial districts, effective July 1, 1978; P.A. 77-603 replaced previous appeal provisions with statement that appeals are
to be in accordance with Sec. 4-183; P.A. 84-254 amended Subsec. (e) to increase periodically the fee from $20 to $40 as
of July 1, 1992; P.A. 87-329 amended Subsec. (e), maintaining the fee at the level existing on and after July 1, 1986, and
decreasing the fee effective July 1, 1992, to the level formerly existing on and after July 1, 1988; June 30 Sp. Sess. P.A.
03-4 amended Subsec. (e) to increase fee to operate automobile club from $35 to $200 on and after January 1, 2005,
effective January 1, 2005.