523C.6 - NET WORTH REQUIREMENT.
523C.6 NET WORTH REQUIREMENT. A service company that has issued or renewed in the aggregate one thousand or less residential service contracts during the preceding calendar year shall maintain a minimum net worth of forty thousand dollars, and the minimum net worth to be maintained shall be increased by an additional twenty thousand dollars for each additional five hundred contracts or fraction thereof issued or renewed, up to a maximum required net worth of four hundred thousand dollars. At least twenty thousand dollars of net worth shall consist of paid-in capital.
Section History: Recent Form 83 Acts, ch 87, § 7; 88 Acts, ch 1112, § 706; 92 Acts, ch 1078, § 4; 99 Acts, ch 166, §12 Referred to in § 523C.3, 523C.9