58-1018. Same; bond requirements; process; actions.
58-1018
58-1018. Same; bond requirements; process; actions.At the time of filing the application required by this act, and as apart thereof, the applicant shall file and deposit with the said clerk abond issued by a corporate surety authorized to do business in this state,in the penal sum of three (3) times the cost to the vendor of themerchandise proposed to be offered for sale at public auction, to the stateof Kansas, and for the use and benefit of any purchaser of any such newgoods, wares or merchandise at the said auction who might have a cause ofaction for damages sustained on account of dishonest or fraudulent conductarising from or out of a sale or sales at such auction against theapplicant or against the auctioneer, and which action is commenced withinone (1) year from the date that such sale is made at any such auction; thesaid bond shall be further conditioned that the applicant will pay anyfines that may be assessed by any court against the applicant or againstthe auctioneer for violation of the provisions of this act: Provided,however, The aggregate liability of the surety for all said taxes,fines, and causes of action shall in no event exceed the sum of such bond,but there shall be no limitation of liability against the owners of the newgoods, wares and merchandise or the auctioneer or the applicant for thelicense.
In such bond the applicant and surety shall appoint the clerk of thecounty or city, as the case may be, in which said bond is filed the agentof the applicant and of the surety for the service of process, whichappointment shall be irrevocable. At the time that said bond is filed anddeposited with the clerk as herein provided the auctioneer shall appointthe said clerk the agent of the auctioneer for the service of process,which appointment shall be irrevocable. In the event of such service ofprocess, the agent on whom such service is made shall, within five (5) daysafter the service, mail by registered mail a true copy of the processserved upon the agent to each party for whom the agent has been served, addressed to thelast known address of such party.
The state of Kansas or any agency or political subdivision thereof, orany person having a cause of action arising out of any sale of such newgoods, wares or merchandise may join the applicant and the surety on suchbond and the auctioneer in the same action, or may in such action sueeither such applicant or the surety or the auctioneer alone.
History: L. 1961, ch. 265, § 5; July 1.