SCS/HCS/HB 725 - This act modifies and creates provisions relating to financial services.LINKED DEPOSIT PROGRAM (SECTION 30.753)
Under current law, the state treasurer is permitted to invest in linked deposits in an amount up to $800 million at any one time. This act increases that threshold to $1 billion.
Furthermore, the act modifies the total deposit for linked deposits that may be used for different borrowers as follows:
· Up to 5% of the aggregate for eligible multitenant development enterprises;
· Up to 5% of the aggregate for eligible property developers and eligible residential property owners;
· Up to 20% of the aggregate for eligible job enhancement businesses; and
· Up to 5% of the aggregate for eligible water systems.
All other linked deposits not allocated to the above may be used as permitted by law.
This provision is identical to provisions in HCS/SCS/SB 187 (2023), SCS/SB 657 (2023), HCS/HB 586, the perfected HCS/HB 809, and HCS/HB 1109 (2023).
MOTOR VEHICLE FINANCIAL RESPONSIBILITY (SECTIONS 303.039 THROUGH 303.440)
The act also enacts provisions relating to motor vehicle financial responsibility.
The act also repeals the delayed effective date for the version of section 303.041, regarding failure to maintain financial responsibility, modified by the act. (Section 303.039).
This act establishes the "Motor Vehicle Financial Responsibility Verification and Enforcement Fund" to be used by the Department of Revenue for the administration of the act. (Section 303.422).
This act creates, within the Department of Revenue, the Motor Vehicle Financial Responsibility Enforcement and Compliance Incentive Program ("the program") for the purpose of enforcing The Motor Vehicle Financial Responsibility Law. The Department of Revenue shall have the authority to contract with third-party vendors to facilitate the program, and to contract with the Missouri Office of Prosecution Services as provided in the act. Where permitted under the act, the Department shall contract with the Missouri Office of Prosecution Services rather than a third-party vendor, unless the Missouri Office of Prosecution Services declines to enter into the contract. (Section 303.425.1(1)). The Department of Revenue or a third-party vendor shall utilize technology to compare vehicle registration information with the information accessible through the motor vehicle financial responsibility verification system established under the act ("the verification system"), and the Department shall use this information to identify motorists who are in violation of The Motor Vehicle Financial Responsibility Law. (Section 303.425.1(2)). All fees paid to the third-party vendors or the Missouri Office of Prosecution Services may come from violator diversion fees generated by the pretrial diversion option established under the act as an alternative to statutory fines and reinstatement fees prescribed under The Motor Vehicle Financial Responsibility Law. A contractual agreement between the Department of Revenue and the Missouri Office of Prosecution Services under the act may provide for retention of part or all of the diversion fees as consideration for the contract. (Section 303.425.1(3)).
The Department of Revenue may authorize law enforcement agencies or third-party vendors to use technology to collect data for purposes of the program. (Section 303.425.2). The Department may authorize traffic enforcement officers, third-party vendors, or the Missouri Office of Prosecution Services to administer the processing and issuance of notices of violation, the collection of fees, or the referral of cases for prosecution, under the program. (Section 303.425.3). Access to the verification system shall be restricted to qualified agencies, as defined in the act. (Section 303.425.4). For purposes of the program, certain data specified in the act may be used to identify vehicles as being in violation of The Motor Vehicle Financial Responsibility Law, and shall constitute evidence of the violation. (Section 303.425.5).
Except as otherwise provided in the act, the Department of Revenue shall suspend, as provided by law (see section 303.041), the registration of any motor vehicle that is determined under the program to be in violation of The Motor Vehicle Financial Responsibility Law. (Section 303.425.6).
The Department of Revenue shall send to an owner whose vehicle is identified under the program as being in violation of The Motor Vehicle Financial Responsibility Law a notice that the vehicle's registration may be suspended unless the owner, within 30 days, provides proof of financial responsibility or proof of a pending criminal charge for a violation of The Motor Vehicle Financial Responsibility Law. The notice shall include information on obtaining proof of financial responsibility, as provided in the act. If proof of financial responsibility or a pending criminal charge is not provided within the time allotted, the Department shall suspend the vehicle's registration in accordance with current law, or shall send a notice of vehicle registration suspension, clearly specifying the grounds for and effective date of the suspension, the right to and procedure for requesting a hearing, and the date by which the request for hearing must be made, as well as informing the owner that the matter will be referred for prosecution, informing the owner that the minimum penalty for the violation is $300 and 4 license points, and offering the owner participation in a pretrial diversion option to preclude referral for prosecution and registration suspension under the act. The notice of vehicle registration suspension shall give a period of 3 days from mailing for the vehicle owner to respond, and shall be deemed received 3 days after mailing.
If no request for hearing or agreement to participate in the diversion option is received prior to the date of suspension, the Director shall suspend the registration immediately and refer the case for prosecution.
If an agreement to participate in the diversion option is received prior to the date of suspension, then upon payment of a diversion participation fee not to exceed $200, and agreement to obtain and retain financial responsibility for a period of 2 years, then no points shall be assessed to the owner's driver's license, and the Department shall not take further action against the owner under the act, subject to compliance with the terms of the pretrial diversion option. The Department shall suspend the registration of, and refer cases for prosecution of, participating vehicle owners who violate the terms of the pretrial diversion option.
If a request for hearing is received prior to the date of suspension, then for all purposes other than eligibility for the diversion option, the effective date of suspension shall be stayed until a final order is entered following the hearing. The Department shall suspend the registration of vehicles determined under the final order to have been in violation of The Motor Vehicle Financial Responsibility Law, and shall refer the case for prosecution.
The Department of Revenue or its third-party vendor or the Missouri Office of Prosecution Services shall issue receipts for the collection of diversion option participation fees. Except as otherwise provided in the act, the fees collected shall be deposited into the Motor Vehicle Financial Responsibility Verification and Enforcement Fund. A vehicle owner whose registration is suspended under the act may obtain reinstatement upon providing proof of financial responsibility and payment to the Department of a nonrefundable reinstatement fee. (Section 303.425.7).
Data collected or retained under the program shall not be used by any entity for purposes other than enforcement of The Motor Vehicle Financial Responsibility Law. Data collected and stored by law enforcement under the program shall be considered evidence if a violation is confirmed. The evidence and a corresponding affidavit as provided in the act shall constitute probable cause for prosecution, and shall be forwarded to the appropriate prosecuting attorney as provided in the act. (Section 303.425.8).
Owners of vehicles identified as being in violation of The Motor Vehicle Financial Responsibility Law shall be provided with options for disputing claims which do not require appearance at any court of law or administrative facility. Any person who provides timely proof that he or she was in compliance with The Motor Vehicle Financial Responsibility Law at the time of the alleged violation shall be entitled to dismissal of the charge with no assessment of fees or fines. Any proof provided that a vehicle was in compliance at the time of the alleged offense shall be recorded in the system established by the Department of Revenue under the act. (Section 303.425.9).
The collection of data or use of technology shall be done in a manner that prohibits bias towards a specific community, race, gender, or socioeconomic status of vehicle owner. (Section 303.425.10). Law enforcement agencies, third-party vendors, or other entities authorized to operate under the program shall not sell data collected or retained under the program for any purpose or share it for any purpose not expressly authorized by law. All data shall be secured and any third-party vendor or other entity authorized to operate under the program may be liable for any data security breach. (Section 303.425.11).
The Department of Revenue shall not take action under the act against fleet vehicles, or against vehicles known to the Department of Revenue to be insured under a policy of commercial auto insurance, as defined in the act. (Section 303.425.12).
Following one year after the implementation of the program, and annually thereafter, the Department of Revenue shall provide a report on the program's operations as provided in the act. The Department may, by rule, require the state, counties, and municipalities to provide information in order to complete the report. (Section 303.425.13).
The Missouri Office of Prosecution Services, in consultation with the Department of Revenue, may promulgate rules as necessary for the implementation of the program. (Section 303.425.14).
This act requires the Department of Revenue to establish a web-based system for the verification of motor vehicle financial responsibility, and to provide access to insurance reporting data and vehicle registration and financial responsibility data. The Department shall require motor vehicle insurers to establish functionality for it as provided in the act, and the system shall be the sole system used in the state for online verification of financial responsibility. (Section 303.430.1).
The verification system shall transmit requests to insurers for verification of insurance coverage via web services established in accordance with Insurance Industry Committee on Motor Vehicle Administration ("IICMVA") specifications, and the insurance company system shall respond with a prescribed response upon evaluating the data provided in the request. The system shall include appropriate data security protections, and the Department of Revenue shall maintain a historical record of the system data for up to 12 months from the date of the requests and responses. The system shall be used to verify financial responsibility required by law, and shall be accessible by authorized employees of the Department, the courts, law enforcement, and other entities as authorized by law, and shall be interfaced, wherever appropriate, with existing state systems. The system shall include information enabling the Department to submit inquiries to insurers regarding motor vehicle insurance which are consistent with insurance industry and IICMVA standards by using the insurer's National Association of Insurance Commissioners company code, vehicle identification number, policy number, verification date, or as otherwise described in IICMVA standards. The Department shall promulgate rules to offer insurers of 1,000 or fewer vehicles an alternative method for verifying coverage in lieu of web services, and to provide for the verification of financial responsibility when proof of financial responsibility is provided to the Department by means other than a policy of insurance. Insurers are not required to verify insurance coverage for vehicles registered in other jurisdictions. (Section 303.430.2(1)).
The verification system shall respond within a time period established by the Department of Revenue. An insurer's system shall respond within the time period prescribed by the IICMVA's specifications and standards. Insurer systems shall be permitted reasonable system downtime for maintenance and other work with advance notice to the Department. Insurers shall not be subject to enforcement fees or other sanctions under such circumstances, or when their systems are not available because of emergency, outside attack, or other unexpected outages not planned by the insurer and reasonably outside of its control. (Section 303.430.2(2)).
The verification system shall assist in the identification of motorists operating in violation of The Motor Vehicle Financial Responsibility Law in the most effective way possible. System responses shall have no effect on the determination of coverage under a claim. Nothing in this act shall prohibit the Department of Revenue from contracting with a third-party vendor or vendors who have successfully implemented similar systems in other states. (Section 303.430.2(3)).
The Department of Revenue shall consult with insurance industry representatives and may consult with third-party vendors to determine the objectives, details, and deadlines related to the system by establishing an advisory council with membership as specified in the act. (Section 303.430.2(4)).
The Department of Revenue shall publish for comment, and then issue, a detailed implementation guide for its online verification system. (Section 303.430.2(5)).
The Department of Revenue and its third-party vendors, if any, shall each maintain a contact person for insurers during the establishment, implementation, and operation of the system. (Section 303.430.2(6)).
If the Department of Revenue has reason to believe a vehicle owner does not maintain financial responsibility as required by law, it may also request for the insurer to verify the existence of financial responsibility in a form approved by the Department of Revenue. Insurers shall cooperate with the Department of Revenue in establishing and maintaining the verification system, and shall provide motor vehicle insurance policy status information in accordance with rules promulgated by the Department of Revenue. (Section 303.430.2(7)).
Every property and casualty insurer licensed to issue motor vehicle insurance or authorized to do business in this state shall comply with this act for the verification of any vehicle for which the insurer issues a policy in this state. (Section 303.430.2(8)).
For purposes of historical verification inquiries, insurers shall maintain a historical record of insurance data for a minimum period of 6 months from the date of a policy's inception or modification. (Section 303.430.2(9)).
The act shall not apply with regard to "commercial auto coverage", as defined in the act. However, such insurers may participate on a voluntary basis, and vehicle owners may provide the Department with proof of commercial auto coverage to be recorded in the verification system. (Section 303.430.2(10)) Individuals covered by commercial or fleet automobile policies shall be provided with proof of coverage as described in the act. (Section 303.430.2(11)).
Insurers shall be immune from civil and administrative liability for good faith efforts to comply with this act. Nothing in this act shall prohibit an insurer from using the services of a third-party vendor for facilitating the verification system as required under the act. (Section 303.430.2(12)-(13)).
The verification system shall be installed and fully operational on January 1, 2025, following a testing period of not less than 9 months. No enforcement action shall be taken based on the system until successful completion of the testing period. (Section 303.440).
These provisions are similar to provisions in the truly agreed to and finally passed HCS/SS/SCS/SB 398 (2023), provisions in SB 263 (2023), HB 203 (2023), HB 643 (2023), provisions in SS/SCS/HCS/HB 655 (2023), provisions in SS/SCS/SB 783 (2022), provisions in the truly agreed to and finally passed SS#2/HB 661 (2021), provisions in HCS/SS/SCS/SB 4 (2021), SB 1086 (2020), and HB 2733 (2020).
AUTHORITY OF THE DIVISION OF FINANCE (SECTION 361.020)
The act stipulates that the Division of Finance is in charge of the execution of the laws relating to banks, trust companies, and the banking business of the state; laws relating to persons and entities engaged in the small loan or consumer credit business in the state; the laws relating to persons and entities engaged in the mortgage business in the state; and the laws relating to persons and entities engaged in any other financial services related to business over which the Division of Finance is granted express authority.
This provision is identical to a provision in the truly agreed to and finally passed SCS/SB 13 (2023) and SCS/HB 585 (2023) and substantially similar to certain provisions in HCS/SCS/SB 187, as amended (2023), HCS/HB 586 (2023), certain provisions in HCS/HB 809 (2023), SB 1096 (2022) and certain provisions in SCS/HB 2571 (2022).
RESPONSIBILITIES OF THE DIVISION OF FINANCE - STATE BANKING AND SAVINGS AND LOAN BOARD (SECTION 361.098)
The act provides that the compensation and necessary travel and other expenses of the members of the State Banking and Savings and Loan Board shall be paid out of the Division of Finance Fund.
Current law provides that a majority of the members of the State Banking and Savings and Loan Board constitutes a quorum. This act provides that three members of the board shall constitute a quorum.
The Division is permitted to provide administrative services to the Board to assist the Board with fulfilling its statutory responsibilities.
These provisions are identical to certain provisions in the truly agreed to and finally passed SCS/SB 13 (2023) and SCS/HB 585 (2023) and substantially similar to certain provisions in HCS/SCS/SB 187, as amended (2023), HCS/HB 586 (2023), certain provisions in HCS/HB 809 (2023), SB 1096 (2022) and certain provisions in SCS/HB 2571 (2022).
BULLETINS AND INDUSTRY LETTERS ISSUED BY DIVISION OF FINANCE (SECTION 361.106)
The act permits the Division to issue bulletins addressing the business of individuals and entities licensed, chartered, or regulated by the Division. Bulletins do not have the force or effect of law and should not be considered statements of general applicability.
The act also permits the Division to issue industry letters. Industry letters may be issued, in the discretion of the director of the Division, at the request of an individual or entity licensed, chartered, or regulated by the Division, and that seeks the Division's position on an application of law. The act details the requirements that must be met in issuing an industry letter. Industry letters are binding on the Division and the requesting party shall not be subject to any administrative proceeding or penalty for any acts or omissions done in reliance on an industry letter, provided there is no change in any material fact or law or the discovery of a material misrepresentation or omission made by the requesting party.
These provisions are identical to certain provisions in the truly agreed to and finally passed SCS/SB 13 (2023) and SCS/HB 585 (2023) and substantially similar to certain provisions in HCS/SCS/SB 187, as amended (2023), HCS/HB 586 (2023), certain provisions in HCS/HB 809 (2023), SB 1096 (2022) and certain provisions in SCS/HB 2571 (2022).
REPORTS OF EXAMINATIONS OF BANKS AND TRUST COMPANIES (SECTION 361.160)
The act repeals an obsolete requirement that the result of all examinations of banks and trust companies during a biennial period be embodied in a report made by the Director of the Department of Commerce and Insurance to the General Assembly, such reporting requirement having previously been repealed.
These provisions are identical to certain provisions in the truly agreed to and finally passed SCS/SB 13 (2023) and SCS/HB 585 (2023) and substantially similar to certain provisions in HCS/SCS/SB 187, as amended (2023), HCS/HB 586 (2023), certain provisions in HCS/HB 809 (2023), SB 1096 (2022) and certain provisions in SCS/HB 2571 (2022).
NOTICES OF CHARGES AND CEASE AND DESIST ORDERS (SECTION 361.260)
The act clarifies the requirements for issuing a notice of charges with respect to a director, officer, employee, agent, or other person participating in the affairs of a bank or trust company regulated by the Division under Chapter 361. Specifically, whenever the director has reason to believe from any examination or investigation made by the director or his or her examiners, that any such corporation, foreign corporation, or director, officer, employee, agent, or other person participating in the conduct of the affairs of such corporation is engaging in, has engaged in, or is about to engage in:
· An unsafe or unsound practice in conducting the business of such corporation;
· A violation of law, rule, or director-imposed written condition;
· A violation of any written agreement entered into with the director; or
· A violation of the corporation's charter,
the director may issue and serve upon the corporation or such director, officer, employee, agent, or other person a notice of charges in respect thereof.
Any cease and desist order issued by the Division in response to one of the above-described charges is subject to the following:
· It may require the corporation or its directors, officers, employees, agents, and other persons participating in the conduct of the affairs of such corporation to cease and desist from such actions, violations, or practices;
· It may require the corporation or its directors, officers, employees, agents, and other persons participating in the conduct of the affairs of such corporation to take affirmative action to correct the conditions resulting from any such actions, violations, or practices;
· It shall require that, if the director determines that the capital of the corporation is impaired, the corporation make good the deficiency forthwith or within a time specified in the order;
· It may, if the director determines that the corporation does not keep adequate records, determine and prescribe such books of account as the director, in his or her discretion, shall require of the corporation for the purpose of keeping accurate and convenient records of the transactions and accounts; and
· It shall, if the director determines that wrong entries or unlawful uses of the funds of the corporation have been made, order that the entries shall be corrected, and the sums unlawfully paid out be restored by the person or persons responsible for the wrongful or illegal payment thereof.
These provisions are identical to certain provisions in the truly agreed to and finally passed SCS/SB 13 (2023) and SCS/HB 585 (2023) and substantially similar to certain provisions in HCS/SCS/SB 187, as amended (2023), HCS/HB 586 (2023), certain provisions in HCS/HB 809 (2023), SB 1096 (2022) and certain provisions in SCS/HB 2571 (2022).
NOTICE OF REMOVAL FROM OFFICE (SECTION 361.262)
The act modifies the process for serving a notice of intention to remove a person from office in a bank or trust company regulated by the Division under Chapter 361.
This provision is identical to a provision in the truly agreed to and finally passed SCS/SB 13 (2023) and SCS/HB 585 (2023) and substantially similar to certain provisions in HCS/SCS/SB 187, as amended (2023), HCS/HB 586 (2023), certain provisions in HCS/HB 809 (2023), SB 1096 (2022) and certain provisions in SCS/HB 2571 (2022).
FEES COLLECTED BY DIVISION OF FINANCE (SECTIONS 361.715, 364.030, 364.105, 365.030, 367.140, 407.640, 408.500)
The act modifies the following fees collected by the Division of Finance:
· From $300 to $400, the annual fee paid by persons seeking a license to issue checks. (Section 361.715.2);
· From $300 to $400, the maximum fee that may be charged for any application to amend and reissue an existing license to issue checks. (Section 361.715.3);
· From $500 to $600, the annual license fee for each place of business of a financial institution licensed under state law. (Section 364.030.3);
· From $500 to $600, the annual registration fee for a premium finance company. (Section 364.105.2);
· From $500 to $600, the annual license fee for each place of business of a sales finance company. (Section 365.030.3);
· From $500 to $600, the fee paid by lenders of consumer credit loans when filing an application for certificate of registration. (Section 367.140.1);
· From $300 to $400, the maximum fee that may be charged a credit services organization when filing a registration statement with the Director of the Division. (Section 407.640.5); and
· From $500 to $600, the annual license fee charged to lenders, other than banks, trust companies, credit unions, savings banks and savings and loan companies, in the business of making unsecured loans of $500 or less. (Section 408.500.1).
These provisions are identical to certain provisions in the truly agreed to and finally passed SCS/SB 13 (2023) and SCS/HB 585 (2023) and substantially similar to certain provisions in HCS/SCS/SB 187, as amended (2023), HCS/HB 586 (2023), certain provisions in HCS/HB 809 (2023), SB 1096 (2022) and certain provisions in SCS/HB 2571 (2022).
ISSUANCE OF CREDIT CARDS BY LENDERS (SECTION 408.145)
Under current law, lenders issuing credit cards in Missouri are permitted to contract for, charge and collect fees for credit cards that are allowed in a contiguous state. This act modifies that provision by enabling issuance of credit cards under the same terms and conditions that are allowed in a contiguous state, rather than limiting the provision to only fees.
This provision is identical to a provision in the truly agreed to and finally passed SCS/SB 13 (2023) and SCS/HB 585 (2023) and substantially similar to certain provisions in HCS/SCS/SB 187, as amended (2023), HCS/HB 586 (2023), certain provisions in HCS/HB 809 (2023), SB 1096 (2022) and certain provisions in SCS/HB 2571 (2022).
BANKING INFORMATION SHARING - MARIJUANA FACILITIES (SECTION 362.034)
This act allows any entity that operates as a marijuana facility licensed or certified under Article XIV of the Constitution of Missouri to request in writing that a state or local licensing authority or agency, including but not limited to the Department of Health and Senior Services or Department of Revenue, share the entity's application, license, or other regulatory and financial information with a banking institution. Such written request must include a waiver giving authorization for the transfer of the individualized data, information, or records and waiving any confidentiality or privilege that applies to that individualized data, information, or records. A state or local licensing authority or agency is permitted to share the entity's information with the banking institution's state and federal supervisory agencies as well.
This provision is identical to the truly agreed to and finally passed SB 63 (2023) and a provision in the truly agreed to and finally passed CCS/HCS/SB 186 (2023) and substantially similar to HCS/HB 425 (2023), SCS/SB 716 (2022), a provision in HCS/SS/SCS/SB 931 (2022), and SCS/SB 489 (2021).
CONSUMER LEGAL FUNDING AND LITIGATION FINANCING (SECTIONS 436.550 TO 436.580)
The act creates the "Consumer Legal Funding Act."
Several definitions are created, including "Consumer Legal Funding Contract" in which a consumer legal funding company purchases and a consumer assigns to the company a contingent right to receive potential proceeds from a settlement, judgment, award, or verdict obtained in the consumer’s legal claim. The act provides for requirements to be included in the contract. The company must provide the consumer’s attorney with a written notice of the contract within three business days of the funding date. The contract is only to be entered into if a valid legal claim exists and it is not valid if its terms exceed a period of forty-eight months.
Additionally, the act details actions that cannot be taken by the company, such as paying or offering to pay or accepting commissions, referral fees, or other forms of consideration from an attorney, certain healthcare providers, or intentionally advertising false or misleading information; or receiving any right to make decisions relating to the conduct of the underlying legal claim or resolution thereof.
Under this act, all consumer legal funding contracts must contain disclosures regarding material terms of the contract. The act provides for specific language to be included in the body of the contract, such as the total amount assigned by the consumer; itemization of one-time charges; payment schedule; and other specifics.
The act provides that only attorney’s liens related to the legal claim, Medicare, or other statutory liens related to the legal claim take priority over claims to proceeds from the consumer legal funding company.
Under this act, a consumer legal funding company shall not engage in the business of consumer legal funding in the state of Missouri, unless it first obtained a license from the Division of Finance. The initial or renewal license applications must be in writing, made under oath, and on the form provided by the Director of the Department of Finance. The act provides for fees associated with licensing.
Under this act, if the Director of the Division of Finance determines that any consumer legal funding company fails to meet its obligations under this act, or any provisions relating to consumer legal funding, the Director may issue an order to cease and desist which is enforceable by a civil penalty of no more than one thousand dollar per day for each day a violation occurs.
Furthermore, if any consumer legal funding company fails to comply with the provision of this act, or any laws relating to consumer legal funding, its license may be suspended or revoked by the Director of the Division of Finance. The Division of Finance may also investigate and examine each consumer funding company as necessary to carry out this act.
Additionally, this act creates the "Consumer Litigation Financing Act". "Litigation financing transaction" is defined as financing provided to a consumer in return for the consumer assigning a contingent right to receive moneys from the settlement, judgment, award, or verdict from a consumer’s legal claim. Under this act, all civil litigation funding must meet certain requirements. This act applies to any class actions but does not apply to litigation financing provided to commercial enterprises.
Under this act, every litigation financier shall not engage in the business of consumer legal funding unless it has first obtained a license from the Division of Finance and met certain requirements, including the posting of a surety bond not to exceed fifty thousand dollars. Additionally, the Director of the Division of Finance may deny, suspend, revoke, and place other restrictions on the issuance of the license if a litigation financier is in violation of this act.
This act details actions that cannot be taken by the litigation financier similarly to the actions that cannot be taken by the consumer legal company. The written contract must be completely filled in. Also, the act provides for the disclosures to be included in the contract which are regarded as material terms of the contract. The existence of litigation financing arrangements are subject to discovery in personal injury litigation.
Under this act, in the event a litigation financier fails to perform its obligations under this act, the Director of the Division of Finance may take disciplinary actions similar to the disciplinary actions when a consumer legal funding company is in violation of this act.
Under this act, the terms of the litigation financing agreement must contain disclosures, constituted as material terms of the litigation financing contract. The act details requirements of the construction of the litigation financing agreement.
Under this act, the practice of litigation financing is regulated by the Division of Finance and any violation of the provision in this act make the contract unenforceable by the parties or any successor-in-interest.
These provisions are substantially similar to provisions in CCS/HCS/SS/SCS/SB 72 (2023) and HCS/SS/SB 181 (2023), and are similar to provisions in SB 342 (2023), HCS/HB 628 (2023), SB 708 (2023), the truly agreed to and finally passed HCS/SCS/SB 103 (2023), HCS/HB 2771 (2022), SB 504 (2019), HB 550 (2019), SB 957 (2018), HB 2251 (2018), HB 74 (2017), SB 162 (2017), SB 882 (2016), HB 1706 (2016), SB 785 (2016), SB 360 (2015), HB 512 (2015), SB 542 (2014), HB 1569 (2014), and SB 440 (2013).
OFFENSE OF PROPERTY DAMAGE IN THE FIRST DEGREE (SECTIONS 569.010 & 569.100)
The act adds to the offense of property damage in the first degree if such person knowingly damages, modifies, or destroys a teller machine or otherwise makes it inoperable.
This offense is a class D felony unless committed for the purpose of executing any scheme or artifice to defraud or obtain any property, the value of which exceeds $750 or the damage to the teller machine exceeds $750, in which case it is a Class C felony. It shall be a Class B felony if committed for the purpose of obtaining the personal financial credentials of another person or if the person has committed a second or subsequent offense of damaging a teller machine.
These provisions are substantially similar to provisions in the truly agreed to and finally passed CCS/HCS/SB 186 (2023), SS/SCS/HCS/HB 301 (2023), SCS/HS/HCS/HBs 1108 & 1181, et al (2023), and SCS/SB 831 (2022).
OFFENSE OF STEALING (SECTION 570.010 & 570.030)
The act adds that the offense of stealing shall be a Class C felony if the property stolen is a teller machine or the contents of a teller machine including cash regardless of the value or amount stolen.
These provisions are substantially similar to provisions in the truly agreed to and finally passed CCS/HCS/SB 186 (2023), SS/SCS/HCS/HB 301 (2023), SCS/HS/HCS/HBs 1108 & 1181, et al (2023), and SCS/SB 831 (2022).
SCOTT SVAGERA