32-1051

32-1051. Duties of licensees

An individual, firm, partnership, association or corporation to whom a license is to
be issued under this chapter shall:

1. Meet the financial responsibility and bonding requirements of this chapter.

2. Not have been a former licensee under the provisions of this chapter whose
license was suspended or revoked and not subsequently reinstated.

3. Deal openly, fairly and honestly in the conduct of the collection agency
business.

4. Except for attorneys licensed to practice law, not attempt to collect any
collection fee, attorney's fee, court cost or expenses unless the fees, charges or
expenses are justly due from and legally chargeable against the debtor, or have been
judicially determined, nor shall any licensee engage in any unfair or misleading
practices or resort to any oppressive, vindictive or illegal means or methods of
collection.

5. Except for attorneys licensed to practice law, not give or send to any debtor,
or cause to be given or sent to any debtor, any notice, letter, message or form which:

(a) Simulates any legal process.

(b) Is ambiguous as to or misrepresents the character, extent or amount of the
obligation of the debtor.

(c) Represents or infers that the existing obligation of the debtor may be
increased by the addition of attorneys' fees, investigation fees, service fees, or any
other fees or charges when in fact these fees or charges may not legally be added to the
existing obligation of the debtor.

(d) Threatens to sell the obligation of the debtor to any person, firm or group.

(e) Uses or sets forth the name of or purports to be from any attorney at law or
legal firm.

6. Except for attorneys licensed to practice law, not use any letterhead, or
literature bearing any heading, slogan or statement representing or inferring that the
licensee practices law, renders legal services or advice, or maintains a legal
department.

7. Not by the use of any letterhead, advertisement, agreement, form, circular or
other printed matter, or otherwise, convey the impression that the individual, firm,
partnership, association or corporation is vouched for or is an instrumentality of the
state, a political subdivision of the state, or the department.