Thisact may be cited as the "Motor Club Services Act" and shall beadministered by the insurance commissioner.
31-14-102. Definitions.
(a) As used in this act:
(i) "Bail bond service" means the furnishing orprocuring by a motor club of a cash deposit or undertaking required by law inorder that a person accused of violation of any law may enjoy personal freedompending trial;
(ii) "Buying and selling service" means an arrangementby a motor club whereby the holder of a service contract with the club is aidedin any way in the purchase or sale of an automobile;
(iii) "Claim adjustment service" means an act by amotor club for the purpose of adjusting claims on behalf of the holder of aservice contract with the club, when the claim results from injury or damage toperson or property arising out of an accident, in connection with theownership, maintenance, operation and use of a motor vehicle;
(iv) "Club agent" means a person other than the motorclub itself who acts or aids in any manner in the solicitation, delivery ornegotiation of any service contract, or of the renewal or continuance thereof;
(v) "Commissioner" means the insurance commissionerof this state;
(vi) "Discount service" means an arrangement by amotor club resulting in giving special discounts, rebates or reductions ofprice on gasoline, oil, repairs, parts, accessories or service for motorvehicles to holders of service contracts with the club;
(vii) "Emergency road service" means the adjustment,repair or replacement by a motor club of the equipment, tires or mechanicalparts of a motor vehicle so as to permit it to be operated under its own power;
(viii) "Financial service" means an arrangement by amotor club whereby loans or other advances of money are made to holders ofservice contracts with the club;
(ix) "Insurance service" means the selling or giving,with a service contract or as a result of membership in or affiliation with amotor club, of a policy of insurance written by an authorized insurance carriercovering liability or loss by the holder resulting from injury or damage toperson or property arising out of an accident the liability or loss being theconsequence of the ownership, maintenance, operation or use of a motor vehicle;
(x) "License service" means the rendering ofassistance by a motor club to any person obtaining:
(A) Registration of a motor vehicle with the state;
(B) A driver's license;
(C) A transfer of legal ownership or registration in therecords of the department of transportation.
(xi) "Map service" means the furnishing of a motorclub of road maps without cost to holders of service contracts with the club;
(xii) "Motor club" means a person directly orindirectly engaged, either as principal or agent, in selling or offering forsale, furnishing or procuring motor club service;
(xiii) "Motor club service" means the rendering orprocuring of any of the services defined in this act to any person inconnection with the ownership, operation, use or maintenance of a motor vehicleby the person upon any of the following considerations:
(A) The person is or will become a member of the club renderingor furnishing the service;
(B) The person is or will become in any manner affiliated withthe club;
(C) The person is or will become entitled to receive membershipor other motor club service from the club by virtue of any agreement orunderstanding with the club.
(xiv) "Service contract" means a written agreementwhereby any person promises for a consideration to render, furnish or procuremotor club service for any other person;
(xv) "Theft service" means an act by a motor club forthe purpose of locating, identifying or recovering a stolen or missing motorvehicle owned or controlled by the holder of a service contract with the clubor for the purpose of detecting or apprehending the person guilty of the theft;
(xvi) "Touring service" means the furnishing by a motorclub of touring information without cost to holders of service contracts withthe club;
(xvii) "Towing service" means the drafting or moving bya motor club of a motor vehicle from one place to another under other powerthan its own;
(xviii) "This act" means W.S. 31-14-101 through31-14-131.
31-14-103. Required security.
(a) A person shall not render or agree to render motor clubservice without first depositing and thereafter continuously maintainingsecurity in one (1) of the following forms with the commissioner:
(i) One hundred thousand dollars ($100,000.00) in cash;
(ii) Securities approved by the commissioner having a marketvalue of one hundred thousand dollars ($100,000.00) and approved by thecommissioner and legal for investment by admitted insurers issuingnonassessable policies on a reserve basis;
(iii) A surety bond in the principal sum of one hundred thousanddollars ($100,000.00) with an admitted surety insurer as surety.
(b) In lieu of the deposit required by subsection (a) of thissection, a foreign or alien motor club may deposit evidence satisfactory to thecommissioner that it has on deposit with an officer of a state of the UnitedStates of America, authorized by the law of such state to accept the deposit:
(i) Securities which meet the requirements of subsection (a) ofthis section of at least a like amount for the benefit and security of allmembers and creditors of the motor club; or
(ii) A surety bond in the principal sum of one hundred thousanddollars ($100,000.00) which meets the requirements of W.S. 31-14-104 issued bya bonding company authorized to do business in the state of Wyoming and in thestate where the bond is posted.
31-14-104. Purpose of security; conditions.
(a) The security shall be:
(i) For the protection, use and benefit of all persons whoseapplications for membership in a motor club have been accepted by the club orits representative;
(ii) Subject to the following conditions and, if a bond, shallbe so expressly conditioned:
(A) The club will faithfully furnish and render to members anyand all of the motor club services sold or offered for sale by it;
(B) The club will pay any fines, fees or penalties imposed uponit under or pursuant to this act.
31-14-105. Suit on bond; aggregate liability of surety.
Ifa bond, or evidence of a bond filed in another state, is filed, any persondefrauded or injured by any wrongful act, misrepresentation or failure on thepart of a motor club with respect to the selling or rendering of any of itsservices may bring suit on the bond in his own name but the aggregate liabilityof the surety for all suits shall not exceed the sum of the bond.
31-14-106. Conditions applicable to deposit of cash or securities.
Adeposit of cash or securities, in lieu of bond, shall be subject to theconditions applying to the bond and is also subject to execution on judgmentsagainst the club.
31-14-107. Approval of name by commissioner.
Thename of a motor club shall be submitted to the commissioner for approval beforethe commencement of business. The commissioner may reject any name so submittedwhen the proposed name would interfere with the transactions of a motor clubalready doing business in this state or is so similar to one already appropriatedas to confuse or mislead the public.
31-14-108. Required certificate of authority.
Aperson shall not render or agree to render motor club service in this statewithout first procuring from the commissioner a certificate of authority to act.
31-14-109. Prerequisites to issuance of certificate of authority.
(a) The commissioner shall not issue a certificate of authorityto any motor club until:
(i) It files with him the following:
(A) A formal application for the certificate in such form anddetail as the commissioner requires, executed under oath by its president orother principal officer;
(B) A certified copy of its charter or articles ofincorporation and its bylaws.
(ii) It pays to the commissioner an annual license fee of onehundred dollars ($100.00);
(iii) It deposits the required cash, securities, bond or evidenceof deposit in another state as provided by W.S. 31-14-103 with thecommissioner;
(iv) Its name is approved by the commissioner under W.S.31-14-107.
31-14-110. Expiration of certificate of authority.
Everycertificate of authority issued to a motor club shall expire annually on July1, of each year, unless sooner revoked or suspended.
31-14-111. Revocation or suspension of certificate of authority.
(a) The commissioner shall revoke or suspend the certificate ofauthority of a motor club whenever, after a hearing, he finds in accordancewith the procedure provided by W.S. 26-2-125 through 26-2-129, that any of thefollowing circumstances exist:
(i) The club has violated any provision of this act;
(ii) It is insolvent;
(iii) Its assets are less than its liabilities;
(iv) It or its officers refuse to submit to an examination;
(v) It is transacting business fraudulently.
(b) The commissioner shall give notice of revocation orsuspension to the public in such manner as he deems proper.
31-14-112. Examination of clubs; financial statement in lieu thereof.
(a) Every motor club is subject to examination by thecommissioner in the manner and under the conditions provided for examination ofinsurers pursuant to W.S. 26-2-116 through 26-2-118 and 26-2-120 through26-2-122. In the examination the assets of any motor club are such assets asare deemed by the insurance commissioner to be available for the payment of theobligations of the motor club.
(b) The expense of examination shall be paid by the motor club.
(c) In lieu of examination under subsection (a) of thissection, the commissioner may accept a copy of the most recent financialstatement of the motor club which has been audited by an independent certifiedpublic accountant demonstrating that the motor club is solvent as determined bygenerally accepted accounting principles on a going-concern basis.
31-14-113. Appointment of commissioner as club's attorney; service ofprocess thereon.
Everymotor club desiring to transact business in this state shall file with thecommissioner a duly executed instrument whereby the motor club shall appointand constitute the commissioner and his successor or successors in office thetrue and lawful attorney of the motor club upon whom all lawful process in anyaction or legal proceeding against it on a contract issued or cause of actionarising in this state may be served, and shall agree that any lawful processagainst it which may be served upon its attorney as provided in this sectionshall be of the same force and validity as if served upon the motor club andthat the authority thereof shall continue in force irrevocably so long as anyliability of the motor club in the state remains outstanding.
31-14-114. Approval of service contract by commissioner.
Aservice contract shall not be executed, issued or delivered in this state untilthe form thereof is approved in writing by the commissioner.
31-14-115. Membership card or certificate; date and signature onservice contract.
Everyservice contract executed, issued or delivered in this state shall beaccompanied by a membership card or certificate and shall be dated and signedby the motor club issuing it.
31-14-116. Contents of service contract.
(a) A service contract shall not be executed, issued ordelivered in this state unless it contains the following:
(i) The exact corporate or other name of the club;
(ii) The exact location of its home office and of its usualplace of business in this state, giving street number and city;
(iii) A provision that the contract may be canceled at any timeby either the club or the holder, and that the holder will, if he has actuallypaid the consideration, thereupon be entitled to the unused portion of theconsideration paid for the contract, calculated on a pro rata basis over theperiod of the contract, without any deductions;
(iv) A provision plainly specifying:
(A) The services promised;
(B) That the holder will not be required to pay any sum, inaddition to the amount specified in the contract, for any services thusspecified;
(C) The territory wherein services are to be rendered;
(D) The date when service will commence.
(v) A statement in not less than fourteen (14) point moderntype at the head of the contract stating, "This is not an automobileliability or physical damage insurance contract."
31-14-117. Solicitation to purchase service contract.
Aperson shall not solicit or aid in the solicitation of another person topurchase a service contract issued by a club not having a certificate ofauthority procured pursuant to this act.
31-14-118. Misrepresentations as to service contracts.
Aclub or an officer or agent thereof shall not in any manner misrepresent theterms, benefits or privileges of any service contract issued or to be issued byit.
31-14-119. Validity of service contract.
Anyservice contract made, issued or delivered contrary to any provision of thisact, shall nevertheless be valid and binding on the club.
31-14-120. Required agent's license.
Noperson shall act as a club agent in this state without first procuring alicense to act from the commissioner.
31-14-121. Application for agent's license.
(a) Application for a license as a club agent shall be made tothe commissioner upon forms prescribed and furnished by him. As a part of, orin connection with, any application, the applicant shall furnish informationconcerning his identity, personal history, experience, business record andother pertinent facts which the commissioner may reasonably require.
(b) If the applicant is a firm, partnership or corporation, theapplication, in addition to the requirements of subsection (a) of this section,shall:
(i) Contain the names of all members and officers of the firm,partnership or corporation; and
(ii) Designate who is to exercise the powers to be conferred bythe license on the firm, partnership or corporation.
(c) The commissioner shall require each individual of a firm,partnership or corporation to furnish information to him as though applying foran individual license.
(d) Any person willfully misrepresenting any fact required tobe disclosed in any application is subject to the penalties provided by W.S.31-14-131.
31-14-122. General conditions for issuance or renewal of agent'slicense.
(a) For the protection of the people of this state, thecommissioner shall not:
(i) Issue or renew any club agent's license except incompliance with this act;
(ii) Issue or renew any club agent's license to, or to beexercised by, any person found by him to be untrustworthy or incompetent, orwho has not established to the satisfaction of the commissioner that he is qualifiedtherefor in accordance with this act.
31-14-123. Qualifications for agent licensee.
(a) The commissioner shall license as a club agent only anindividual who has otherwise complied with this act, and who has furnishedevidence satisfactory to the commissioner that he:
(i) Is an adult;
(ii) Has been a bona fide resident of this state for at leastthree (3) months or is a resident of a state which will permit residents ofthis state to act as club agents in such other state;
(iii) Is a trustworthy person with a good reputation;
(iv) Has never been convicted of a felony;
(v) Holds an insurance agent or an insurance broker's licenseif the service includes insurance.
31-14-124. Form and contents of agent's license.
(a) The commissioner shall prescribe the form of the clubagent's license, but it shall contain:
(i) The name of the licensee and his business address;
(ii) The date of issuance and the date of expiration;
(iii) The name of the represented motor club.
31-14-125. Annual renewal of agent's license; fee.
(a) Club agents' licenses are renewable on July 1 of each year.
(b) The license fee is ten dollars ($10.00) a year.
31-14-126. Grounds for suspension, revocation or refusal to renewagent's license generally.
(a) The commissioner may suspend, revoke or refuse to renew anyclub agent's license issued under this act for any cause specified in any otherprovision of this act, or for any of the following causes:
(i) If the licensee willfully violated or knowinglyparticipates in the violation of any provision of this act;
(ii) If the licensee has obtained or attempted to obtain anylicense through willful misrepresentation or fraud;
(iii) If the licensee has misappropriated or converted to his ownuse or has illegally withheld monies required to be held in a fiduciarycapacity;
(iv) If the licensee has, with intent to deceive, materiallymisrepresented the terms or effect of any contract, or has engaged in anyfraudulent transaction;
(v) If the licensee has been convicted, by final judgment, of afelony;
(vi) If, in the conduct of his affairs under the license, thelicensee has shown himself to be incompetent, untrustworthy or a source ofinjury and loss to the public;
(vii) If the licensee fails to maintain his insurance agent'slicense in full force and effect if the service includes insurance.
31-14-127. Grounds for suspension, revocation or refusal of agent'slicense of firm, partnership or corporation.
Theclub agent's license of any firm, partnership or corporation may be suspended,revoked or refused for any cause which relates to any individual designated inthe license to exercise its powers.
31-14-128. Surrender of revoked or suspended license certificate.
Theholder of any club agent's license which has been revoked or suspended shallimmediately surrender the license certificate to the commissioner.
31-14-129. Further grounds for suspension or revocation of agent'slicense.
Aclub agent's license shall be suspended or revoked by the commissioner for thesame applicable grounds and in the manner provided for agents of insurers inW.S. 26-9-211.
31-14-130. Exemptions.
(a) This act does not apply to:
(i) A duly authorized attorney at law acting in the usualcourse of his profession;
(ii) Any authorized insurer;
(iii) Any association of motor carriers providing one (1) or moreof the services defined in W.S. 31-14-102, to its members.
31-14-131. Penalty for violation.
Eachviolation of this act is punishable as provided by W.S. 26-1-107.
Thisact may be cited as the "Motor Club Services Act" and shall beadministered by the insurance commissioner.
31-14-102. Definitions.
(a) As used in this act:
(i) "Bail bond service" means the furnishing orprocuring by a motor club of a cash deposit or undertaking required by law inorder that a person accused of violation of any law may enjoy personal freedompending trial;
(ii) "Buying and selling service" means an arrangementby a motor club whereby the holder of a service contract with the club is aidedin any way in the purchase or sale of an automobile;
(iii) "Claim adjustment service" means an act by amotor club for the purpose of adjusting claims on behalf of the holder of aservice contract with the club, when the claim results from injury or damage toperson or property arising out of an accident, in connection with theownership, maintenance, operation and use of a motor vehicle;
(iv) "Club agent" means a person other than the motorclub itself who acts or aids in any manner in the solicitation, delivery ornegotiation of any service contract, or of the renewal or continuance thereof;
(v) "Commissioner" means the insurance commissionerof this state;
(vi) "Discount service" means an arrangement by amotor club resulting in giving special discounts, rebates or reductions ofprice on gasoline, oil, repairs, parts, accessories or service for motorvehicles to holders of service contracts with the club;
(vii) "Emergency road service" means the adjustment,repair or replacement by a motor club of the equipment, tires or mechanicalparts of a motor vehicle so as to permit it to be operated under its own power;
(viii) "Financial service" means an arrangement by amotor club whereby loans or other advances of money are made to holders ofservice contracts with the club;
(ix) "Insurance service" means the selling or giving,with a service contract or as a result of membership in or affiliation with amotor club, of a policy of insurance written by an authorized insurance carriercovering liability or loss by the holder resulting from injury or damage toperson or property arising out of an accident the liability or loss being theconsequence of the ownership, maintenance, operation or use of a motor vehicle;
(x) "License service" means the rendering ofassistance by a motor club to any person obtaining:
(A) Registration of a motor vehicle with the state;
(B) A driver's license;
(C) A transfer of legal ownership or registration in therecords of the department of transportation.
(xi) "Map service" means the furnishing of a motorclub of road maps without cost to holders of service contracts with the club;
(xii) "Motor club" means a person directly orindirectly engaged, either as principal or agent, in selling or offering forsale, furnishing or procuring motor club service;
(xiii) "Motor club service" means the rendering orprocuring of any of the services defined in this act to any person inconnection with the ownership, operation, use or maintenance of a motor vehicleby the person upon any of the following considerations:
(A) The person is or will become a member of the club renderingor furnishing the service;
(B) The person is or will become in any manner affiliated withthe club;
(C) The person is or will become entitled to receive membershipor other motor club service from the club by virtue of any agreement orunderstanding with the club.
(xiv) "Service contract" means a written agreementwhereby any person promises for a consideration to render, furnish or procuremotor club service for any other person;
(xv) "Theft service" means an act by a motor club forthe purpose of locating, identifying or recovering a stolen or missing motorvehicle owned or controlled by the holder of a service contract with the clubor for the purpose of detecting or apprehending the person guilty of the theft;
(xvi) "Touring service" means the furnishing by a motorclub of touring information without cost to holders of service contracts withthe club;
(xvii) "Towing service" means the drafting or moving bya motor club of a motor vehicle from one place to another under other powerthan its own;
(xviii) "This act" means W.S. 31-14-101 through31-14-131.
31-14-103. Required security.
(a) A person shall not render or agree to render motor clubservice without first depositing and thereafter continuously maintainingsecurity in one (1) of the following forms with the commissioner:
(i) One hundred thousand dollars ($100,000.00) in cash;
(ii) Securities approved by the commissioner having a marketvalue of one hundred thousand dollars ($100,000.00) and approved by thecommissioner and legal for investment by admitted insurers issuingnonassessable policies on a reserve basis;
(iii) A surety bond in the principal sum of one hundred thousanddollars ($100,000.00) with an admitted surety insurer as surety.
(b) In lieu of the deposit required by subsection (a) of thissection, a foreign or alien motor club may deposit evidence satisfactory to thecommissioner that it has on deposit with an officer of a state of the UnitedStates of America, authorized by the law of such state to accept the deposit:
(i) Securities which meet the requirements of subsection (a) ofthis section of at least a like amount for the benefit and security of allmembers and creditors of the motor club; or
(ii) A surety bond in the principal sum of one hundred thousanddollars ($100,000.00) which meets the requirements of W.S. 31-14-104 issued bya bonding company authorized to do business in the state of Wyoming and in thestate where the bond is posted.
31-14-104. Purpose of security; conditions.
(a) The security shall be:
(i) For the protection, use and benefit of all persons whoseapplications for membership in a motor club have been accepted by the club orits representative;
(ii) Subject to the following conditions and, if a bond, shallbe so expressly conditioned:
(A) The club will faithfully furnish and render to members anyand all of the motor club services sold or offered for sale by it;
(B) The club will pay any fines, fees or penalties imposed uponit under or pursuant to this act.
31-14-105. Suit on bond; aggregate liability of surety.
Ifa bond, or evidence of a bond filed in another state, is filed, any persondefrauded or injured by any wrongful act, misrepresentation or failure on thepart of a motor club with respect to the selling or rendering of any of itsservices may bring suit on the bond in his own name but the aggregate liabilityof the surety for all suits shall not exceed the sum of the bond.
31-14-106. Conditions applicable to deposit of cash or securities.
Adeposit of cash or securities, in lieu of bond, shall be subject to theconditions applying to the bond and is also subject to execution on judgmentsagainst the club.
31-14-107. Approval of name by commissioner.
Thename of a motor club shall be submitted to the commissioner for approval beforethe commencement of business. The commissioner may reject any name so submittedwhen the proposed name would interfere with the transactions of a motor clubalready doing business in this state or is so similar to one already appropriatedas to confuse or mislead the public.
31-14-108. Required certificate of authority.
Aperson shall not render or agree to render motor club service in this statewithout first procuring from the commissioner a certificate of authority to act.
31-14-109. Prerequisites to issuance of certificate of authority.
(a) The commissioner shall not issue a certificate of authorityto any motor club until:
(i) It files with him the following:
(A) A formal application for the certificate in such form anddetail as the commissioner requires, executed under oath by its president orother principal officer;
(B) A certified copy of its charter or articles ofincorporation and its bylaws.
(ii) It pays to the commissioner an annual license fee of onehundred dollars ($100.00);
(iii) It deposits the required cash, securities, bond or evidenceof deposit in another state as provided by W.S. 31-14-103 with thecommissioner;
(iv) Its name is approved by the commissioner under W.S.31-14-107.
31-14-110. Expiration of certificate of authority.
Everycertificate of authority issued to a motor club shall expire annually on July1, of each year, unless sooner revoked or suspended.
31-14-111. Revocation or suspension of certificate of authority.
(a) The commissioner shall revoke or suspend the certificate ofauthority of a motor club whenever, after a hearing, he finds in accordancewith the procedure provided by W.S. 26-2-125 through 26-2-129, that any of thefollowing circumstances exist:
(i) The club has violated any provision of this act;
(ii) It is insolvent;
(iii) Its assets are less than its liabilities;
(iv) It or its officers refuse to submit to an examination;
(v) It is transacting business fraudulently.
(b) The commissioner shall give notice of revocation orsuspension to the public in such manner as he deems proper.
31-14-112. Examination of clubs; financial statement in lieu thereof.
(a) Every motor club is subject to examination by thecommissioner in the manner and under the conditions provided for examination ofinsurers pursuant to W.S. 26-2-116 through 26-2-118 and 26-2-120 through26-2-122. In the examination the assets of any motor club are such assets asare deemed by the insurance commissioner to be available for the payment of theobligations of the motor club.
(b) The expense of examination shall be paid by the motor club.
(c) In lieu of examination under subsection (a) of thissection, the commissioner may accept a copy of the most recent financialstatement of the motor club which has been audited by an independent certifiedpublic accountant demonstrating that the motor club is solvent as determined bygenerally accepted accounting principles on a going-concern basis.
31-14-113. Appointment of commissioner as club's attorney; service ofprocess thereon.
Everymotor club desiring to transact business in this state shall file with thecommissioner a duly executed instrument whereby the motor club shall appointand constitute the commissioner and his successor or successors in office thetrue and lawful attorney of the motor club upon whom all lawful process in anyaction or legal proceeding against it on a contract issued or cause of actionarising in this state may be served, and shall agree that any lawful processagainst it which may be served upon its attorney as provided in this sectionshall be of the same force and validity as if served upon the motor club andthat the authority thereof shall continue in force irrevocably so long as anyliability of the motor club in the state remains outstanding.
31-14-114. Approval of service contract by commissioner.
Aservice contract shall not be executed, issued or delivered in this state untilthe form thereof is approved in writing by the commissioner.
31-14-115. Membership card or certificate; date and signature onservice contract.
Everyservice contract executed, issued or delivered in this state shall beaccompanied by a membership card or certificate and shall be dated and signedby the motor club issuing it.
31-14-116. Contents of service contract.
(a) A service contract shall not be executed, issued ordelivered in this state unless it contains the following:
(i) The exact corporate or other name of the club;
(ii) The exact location of its home office and of its usualplace of business in this state, giving street number and city;
(iii) A provision that the contract may be canceled at any timeby either the club or the holder, and that the holder will, if he has actuallypaid the consideration, thereupon be entitled to the unused portion of theconsideration paid for the contract, calculated on a pro rata basis over theperiod of the contract, without any deductions;
(iv) A provision plainly specifying:
(A) The services promised;
(B) That the holder will not be required to pay any sum, inaddition to the amount specified in the contract, for any services thusspecified;
(C) The territory wherein services are to be rendered;
(D) The date when service will commence.
(v) A statement in not less than fourteen (14) point moderntype at the head of the contract stating, "This is not an automobileliability or physical damage insurance contract."
31-14-117. Solicitation to purchase service contract.
Aperson shall not solicit or aid in the solicitation of another person topurchase a service contract issued by a club not having a certificate ofauthority procured pursuant to this act.
31-14-118. Misrepresentations as to service contracts.
Aclub or an officer or agent thereof shall not in any manner misrepresent theterms, benefits or privileges of any service contract issued or to be issued byit.
31-14-119. Validity of service contract.
Anyservice contract made, issued or delivered contrary to any provision of thisact, shall nevertheless be valid and binding on the club.
31-14-120. Required agent's license.
Noperson shall act as a club agent in this state without first procuring alicense to act from the commissioner.
31-14-121. Application for agent's license.
(a) Application for a license as a club agent shall be made tothe commissioner upon forms prescribed and furnished by him. As a part of, orin connection with, any application, the applicant shall furnish informationconcerning his identity, personal history, experience, business record andother pertinent facts which the commissioner may reasonably require.
(b) If the applicant is a firm, partnership or corporation, theapplication, in addition to the requirements of subsection (a) of this section,shall:
(i) Contain the names of all members and officers of the firm,partnership or corporation; and
(ii) Designate who is to exercise the powers to be conferred bythe license on the firm, partnership or corporation.
(c) The commissioner shall require each individual of a firm,partnership or corporation to furnish information to him as though applying foran individual license.
(d) Any person willfully misrepresenting any fact required tobe disclosed in any application is subject to the penalties provided by W.S.31-14-131.
31-14-122. General conditions for issuance or renewal of agent'slicense.
(a) For the protection of the people of this state, thecommissioner shall not:
(i) Issue or renew any club agent's license except incompliance with this act;
(ii) Issue or renew any club agent's license to, or to beexercised by, any person found by him to be untrustworthy or incompetent, orwho has not established to the satisfaction of the commissioner that he is qualifiedtherefor in accordance with this act.
31-14-123. Qualifications for agent licensee.
(a) The commissioner shall license as a club agent only anindividual who has otherwise complied with this act, and who has furnishedevidence satisfactory to the commissioner that he:
(i) Is an adult;
(ii) Has been a bona fide resident of this state for at leastthree (3) months or is a resident of a state which will permit residents ofthis state to act as club agents in such other state;
(iii) Is a trustworthy person with a good reputation;
(iv) Has never been convicted of a felony;
(v) Holds an insurance agent or an insurance broker's licenseif the service includes insurance.
31-14-124. Form and contents of agent's license.
(a) The commissioner shall prescribe the form of the clubagent's license, but it shall contain:
(i) The name of the licensee and his business address;
(ii) The date of issuance and the date of expiration;
(iii) The name of the represented motor club.
31-14-125. Annual renewal of agent's license; fee.
(a) Club agents' licenses are renewable on July 1 of each year.
(b) The license fee is ten dollars ($10.00) a year.
31-14-126. Grounds for suspension, revocation or refusal to renewagent's license generally.
(a) The commissioner may suspend, revoke or refuse to renew anyclub agent's license issued under this act for any cause specified in any otherprovision of this act, or for any of the following causes:
(i) If the licensee willfully violated or knowinglyparticipates in the violation of any provision of this act;
(ii) If the licensee has obtained or attempted to obtain anylicense through willful misrepresentation or fraud;
(iii) If the licensee has misappropriated or converted to his ownuse or has illegally withheld monies required to be held in a fiduciarycapacity;
(iv) If the licensee has, with intent to deceive, materiallymisrepresented the terms or effect of any contract, or has engaged in anyfraudulent transaction;
(v) If the licensee has been convicted, by final judgment, of afelony;
(vi) If, in the conduct of his affairs under the license, thelicensee has shown himself to be incompetent, untrustworthy or a source ofinjury and loss to the public;
(vii) If the licensee fails to maintain his insurance agent'slicense in full force and effect if the service includes insurance.
31-14-127. Grounds for suspension, revocation or refusal of agent'slicense of firm, partnership or corporation.
Theclub agent's license of any firm, partnership or corporation may be suspended,revoked or refused for any cause which relates to any individual designated inthe license to exercise its powers.
31-14-128. Surrender of revoked or suspended license certificate.
Theholder of any club agent's license which has been revoked or suspended shallimmediately surrender the license certificate to the commissioner.
31-14-129. Further grounds for suspension or revocation of agent'slicense.
Aclub agent's license shall be suspended or revoked by the commissioner for thesame applicable grounds and in the manner provided for agents of insurers inW.S. 26-9-211.
31-14-130. Exemptions.
(a) This act does not apply to:
(i) A duly authorized attorney at law acting in the usualcourse of his profession;
(ii) Any authorized insurer;
(iii) Any association of motor carriers providing one (1) or moreof the services defined in W.S. 31-14-102, to its members.
31-14-131. Penalty for violation.
Eachviolation of this act is punishable as provided by W.S. 26-1-107.
Thisact may be cited as the "Motor Club Services Act" and shall beadministered by the insurance commissioner.
31-14-102. Definitions.
(a) As used in this act:
(i) "Bail bond service" means the furnishing orprocuring by a motor club of a cash deposit or undertaking required by law inorder that a person accused of violation of any law may enjoy personal freedompending trial;
(ii) "Buying and selling service" means an arrangementby a motor club whereby the holder of a service contract with the club is aidedin any way in the purchase or sale of an automobile;
(iii) "Claim adjustment service" means an act by amotor club for the purpose of adjusting claims on behalf of the holder of aservice contract with the club, when the claim results from injury or damage toperson or property arising out of an accident, in connection with theownership, maintenance, operation and use of a motor vehicle;
(iv) "Club agent" means a person other than the motorclub itself who acts or aids in any manner in the solicitation, delivery ornegotiation of any service contract, or of the renewal or continuance thereof;
(v) "Commissioner" means the insurance commissionerof this state;
(vi) "Discount service" means an arrangement by amotor club resulting in giving special discounts, rebates or reductions ofprice on gasoline, oil, repairs, parts, accessories or service for motorvehicles to holders of service contracts with the club;
(vii) "Emergency road service" means the adjustment,repair or replacement by a motor club of the equipment, tires or mechanicalparts of a motor vehicle so as to permit it to be operated under its own power;
(viii) "Financial service" means an arrangement by amotor club whereby loans or other advances of money are made to holders ofservice contracts with the club;
(ix) "Insurance service" means the selling or giving,with a service contract or as a result of membership in or affiliation with amotor club, of a policy of insurance written by an authorized insurance carriercovering liability or loss by the holder resulting from injury or damage toperson or property arising out of an accident the liability or loss being theconsequence of the ownership, maintenance, operation or use of a motor vehicle;
(x) "License service" means the rendering ofassistance by a motor club to any person obtaining:
(A) Registration of a motor vehicle with the state;
(B) A driver's license;
(C) A transfer of legal ownership or registration in therecords of the department of transportation.
(xi) "Map service" means the furnishing of a motorclub of road maps without cost to holders of service contracts with the club;
(xii) "Motor club" means a person directly orindirectly engaged, either as principal or agent, in selling or offering forsale, furnishing or procuring motor club service;
(xiii) "Motor club service" means the rendering orprocuring of any of the services defined in this act to any person inconnection with the ownership, operation, use or maintenance of a motor vehicleby the person upon any of the following considerations:
(A) The person is or will become a member of the club renderingor furnishing the service;
(B) The person is or will become in any manner affiliated withthe club;
(C) The person is or will become entitled to receive membershipor other motor club service from the club by virtue of any agreement orunderstanding with the club.
(xiv) "Service contract" means a written agreementwhereby any person promises for a consideration to render, furnish or procuremotor club service for any other person;
(xv) "Theft service" means an act by a motor club forthe purpose of locating, identifying or recovering a stolen or missing motorvehicle owned or controlled by the holder of a service contract with the clubor for the purpose of detecting or apprehending the person guilty of the theft;
(xvi) "Touring service" means the furnishing by a motorclub of touring information without cost to holders of service contracts withthe club;
(xvii) "Towing service" means the drafting or moving bya motor club of a motor vehicle from one place to another under other powerthan its own;
(xviii) "This act" means W.S. 31-14-101 through31-14-131.
31-14-103. Required security.
(a) A person shall not render or agree to render motor clubservice without first depositing and thereafter continuously maintainingsecurity in one (1) of the following forms with the commissioner:
(i) One hundred thousand dollars ($100,000.00) in cash;
(ii) Securities approved by the commissioner having a marketvalue of one hundred thousand dollars ($100,000.00) and approved by thecommissioner and legal for investment by admitted insurers issuingnonassessable policies on a reserve basis;
(iii) A surety bond in the principal sum of one hundred thousanddollars ($100,000.00) with an admitted surety insurer as surety.
(b) In lieu of the deposit required by subsection (a) of thissection, a foreign or alien motor club may deposit evidence satisfactory to thecommissioner that it has on deposit with an officer of a state of the UnitedStates of America, authorized by the law of such state to accept the deposit:
(i) Securities which meet the requirements of subsection (a) ofthis section of at least a like amount for the benefit and security of allmembers and creditors of the motor club; or
(ii) A surety bond in the principal sum of one hundred thousanddollars ($100,000.00) which meets the requirements of W.S. 31-14-104 issued bya bonding company authorized to do business in the state of Wyoming and in thestate where the bond is posted.
31-14-104. Purpose of security; conditions.
(a) The security shall be:
(i) For the protection, use and benefit of all persons whoseapplications for membership in a motor club have been accepted by the club orits representative;
(ii) Subject to the following conditions and, if a bond, shallbe so expressly conditioned:
(A) The club will faithfully furnish and render to members anyand all of the motor club services sold or offered for sale by it;
(B) The club will pay any fines, fees or penalties imposed uponit under or pursuant to this act.
31-14-105. Suit on bond; aggregate liability of surety.
Ifa bond, or evidence of a bond filed in another state, is filed, any persondefrauded or injured by any wrongful act, misrepresentation or failure on thepart of a motor club with respect to the selling or rendering of any of itsservices may bring suit on the bond in his own name but the aggregate liabilityof the surety for all suits shall not exceed the sum of the bond.
31-14-106. Conditions applicable to deposit of cash or securities.
Adeposit of cash or securities, in lieu of bond, shall be subject to theconditions applying to the bond and is also subject to execution on judgmentsagainst the club.
31-14-107. Approval of name by commissioner.
Thename of a motor club shall be submitted to the commissioner for approval beforethe commencement of business. The commissioner may reject any name so submittedwhen the proposed name would interfere with the transactions of a motor clubalready doing business in this state or is so similar to one already appropriatedas to confuse or mislead the public.
31-14-108. Required certificate of authority.
Aperson shall not render or agree to render motor club service in this statewithout first procuring from the commissioner a certificate of authority to act.
31-14-109. Prerequisites to issuance of certificate of authority.
(a) The commissioner shall not issue a certificate of authorityto any motor club until:
(i) It files with him the following:
(A) A formal application for the certificate in such form anddetail as the commissioner requires, executed under oath by its president orother principal officer;
(B) A certified copy of its charter or articles ofincorporation and its bylaws.
(ii) It pays to the commissioner an annual license fee of onehundred dollars ($100.00);
(iii) It deposits the required cash, securities, bond or evidenceof deposit in another state as provided by W.S. 31-14-103 with thecommissioner;
(iv) Its name is approved by the commissioner under W.S.31-14-107.
31-14-110. Expiration of certificate of authority.
Everycertificate of authority issued to a motor club shall expire annually on July1, of each year, unless sooner revoked or suspended.
31-14-111. Revocation or suspension of certificate of authority.
(a) The commissioner shall revoke or suspend the certificate ofauthority of a motor club whenever, after a hearing, he finds in accordancewith the procedure provided by W.S. 26-2-125 through 26-2-129, that any of thefollowing circumstances exist:
(i) The club has violated any provision of this act;
(ii) It is insolvent;
(iii) Its assets are less than its liabilities;
(iv) It or its officers refuse to submit to an examination;
(v) It is transacting business fraudulently.
(b) The commissioner shall give notice of revocation orsuspension to the public in such manner as he deems proper.
31-14-112. Examination of clubs; financial statement in lieu thereof.
(a) Every motor club is subject to examination by thecommissioner in the manner and under the conditions provided for examination ofinsurers pursuant to W.S. 26-2-116 through 26-2-118 and 26-2-120 through26-2-122. In the examination the assets of any motor club are such assets asare deemed by the insurance commissioner to be available for the payment of theobligations of the motor club.
(b) The expense of examination shall be paid by the motor club.
(c) In lieu of examination under subsection (a) of thissection, the commissioner may accept a copy of the most recent financialstatement of the motor club which has been audited by an independent certifiedpublic accountant demonstrating that the motor club is solvent as determined bygenerally accepted accounting principles on a going-concern basis.
31-14-113. Appointment of commissioner as club's attorney; service ofprocess thereon.
Everymotor club desiring to transact business in this state shall file with thecommissioner a duly executed instrument whereby the motor club shall appointand constitute the commissioner and his successor or successors in office thetrue and lawful attorney of the motor club upon whom all lawful process in anyaction or legal proceeding against it on a contract issued or cause of actionarising in this state may be served, and shall agree that any lawful processagainst it which may be served upon its attorney as provided in this sectionshall be of the same force and validity as if served upon the motor club andthat the authority thereof shall continue in force irrevocably so long as anyliability of the motor club in the state remains outstanding.
31-14-114. Approval of service contract by commissioner.
Aservice contract shall not be executed, issued or delivered in this state untilthe form thereof is approved in writing by the commissioner.
31-14-115. Membership card or certificate; date and signature onservice contract.
Everyservice contract executed, issued or delivered in this state shall beaccompanied by a membership card or certificate and shall be dated and signedby the motor club issuing it.
31-14-116. Contents of service contract.
(a) A service contract shall not be executed, issued ordelivered in this state unless it contains the following:
(i) The exact corporate or other name of the club;
(ii) The exact location of its home office and of its usualplace of business in this state, giving street number and city;
(iii) A provision that the contract may be canceled at any timeby either the club or the holder, and that the holder will, if he has actuallypaid the consideration, thereupon be entitled to the unused portion of theconsideration paid for the contract, calculated on a pro rata basis over theperiod of the contract, without any deductions;
(iv) A provision plainly specifying:
(A) The services promised;
(B) That the holder will not be required to pay any sum, inaddition to the amount specified in the contract, for any services thusspecified;
(C) The territory wherein services are to be rendered;
(D) The date when service will commence.
(v) A statement in not less than fourteen (14) point moderntype at the head of the contract stating, "This is not an automobileliability or physical damage insurance contract."
31-14-117. Solicitation to purchase service contract.
Aperson shall not solicit or aid in the solicitation of another person topurchase a service contract issued by a club not having a certificate ofauthority procured pursuant to this act.
31-14-118. Misrepresentations as to service contracts.
Aclub or an officer or agent thereof shall not in any manner misrepresent theterms, benefits or privileges of any service contract issued or to be issued byit.
31-14-119. Validity of service contract.
Anyservice contract made, issued or delivered contrary to any provision of thisact, shall nevertheless be valid and binding on the club.
31-14-120. Required agent's license.
Noperson shall act as a club agent in this state without first procuring alicense to act from the commissioner.
31-14-121. Application for agent's license.
(a) Application for a license as a club agent shall be made tothe commissioner upon forms prescribed and furnished by him. As a part of, orin connection with, any application, the applicant shall furnish informationconcerning his identity, personal history, experience, business record andother pertinent facts which the commissioner may reasonably require.
(b) If the applicant is a firm, partnership or corporation, theapplication, in addition to the requirements of subsection (a) of this section,shall:
(i) Contain the names of all members and officers of the firm,partnership or corporation; and
(ii) Designate who is to exercise the powers to be conferred bythe license on the firm, partnership or corporation.
(c) The commissioner shall require each individual of a firm,partnership or corporation to furnish information to him as though applying foran individual license.
(d) Any person willfully misrepresenting any fact required tobe disclosed in any application is subject to the penalties provided by W.S.31-14-131.
31-14-122. General conditions for issuance or renewal of agent'slicense.
(a) For the protection of the people of this state, thecommissioner shall not:
(i) Issue or renew any club agent's license except incompliance with this act;
(ii) Issue or renew any club agent's license to, or to beexercised by, any person found by him to be untrustworthy or incompetent, orwho has not established to the satisfaction of the commissioner that he is qualifiedtherefor in accordance with this act.
31-14-123. Qualifications for agent licensee.
(a) The commissioner shall license as a club agent only anindividual who has otherwise complied with this act, and who has furnishedevidence satisfactory to the commissioner that he:
(i) Is an adult;
(ii) Has been a bona fide resident of this state for at leastthree (3) months or is a resident of a state which will permit residents ofthis state to act as club agents in such other state;
(iii) Is a trustworthy person with a good reputation;
(iv) Has never been convicted of a felony;
(v) Holds an insurance agent or an insurance broker's licenseif the service includes insurance.
31-14-124. Form and contents of agent's license.
(a) The commissioner shall prescribe the form of the clubagent's license, but it shall contain:
(i) The name of the licensee and his business address;
(ii) The date of issuance and the date of expiration;
(iii) The name of the represented motor club.
31-14-125. Annual renewal of agent's license; fee.
(a) Club agents' licenses are renewable on July 1 of each year.
(b) The license fee is ten dollars ($10.00) a year.
31-14-126. Grounds for suspension, revocation or refusal to renewagent's license generally.
(a) The commissioner may suspend, revoke or refuse to renew anyclub agent's license issued under this act for any cause specified in any otherprovision of this act, or for any of the following causes:
(i) If the licensee willfully violated or knowinglyparticipates in the violation of any provision of this act;
(ii) If the licensee has obtained or attempted to obtain anylicense through willful misrepresentation or fraud;
(iii) If the licensee has misappropriated or converted to his ownuse or has illegally withheld monies required to be held in a fiduciarycapacity;
(iv) If the licensee has, with intent to deceive, materiallymisrepresented the terms or effect of any contract, or has engaged in anyfraudulent transaction;
(v) If the licensee has been convicted, by final judgment, of afelony;
(vi) If, in the conduct of his affairs under the license, thelicensee has shown himself to be incompetent, untrustworthy or a source ofinjury and loss to the public;
(vii) If the licensee fails to maintain his insurance agent'slicense in full force and effect if the service includes insurance.
31-14-127. Grounds for suspension, revocation or refusal of agent'slicense of firm, partnership or corporation.
Theclub agent's license of any firm, partnership or corporation may be suspended,revoked or refused for any cause which relates to any individual designated inthe license to exercise its powers.
31-14-128. Surrender of revoked or suspended license certificate.
Theholder of any club agent's license which has been revoked or suspended shallimmediately surrender the license certificate to the commissioner.
31-14-129. Further grounds for suspension or revocation of agent'slicense.
Aclub agent's license shall be suspended or revoked by the commissioner for thesame applicable grounds and in the manner provided for agents of insurers inW.S. 26-9-211.
31-14-130. Exemptions.
(a) This act does not apply to:
(i) A duly authorized attorney at law acting in the usualcourse of his profession;
(ii) Any authorized insurer;
(iii) Any association of motor carriers providing one (1) or moreof the services defined in W.S. 31-14-102, to its members.
31-14-131. Penalty for violation.
Eachviolation of this act is punishable as provided by W.S. 26-1-107.
