Alabama § 16-47-80 - Contractual Agreement of Recipients; Penalties for Breach.

§ 16-47-80. Contractual Agreement of Recipients; Penalties for Breach.

(a) Each recipient of a loan under this article shall enter into a contract with the Board of Dental Scholarship and Loan Awards whereby he or she agrees to repay the loan in a manner prescribed by the board not inconsistent with any provision of this article. Breach of contract by the recipient shall make the recipient immediately liable for the unpaid balance of the loan and shall constitute a ground for the revocation of the recipient’s certificate or license to practice dentistry in the State of Alabama. In the event of death or total and permanent disability of the recipient to engage in the practice of dentistry, repayment of the loan may be excused by the board.

(b) The contract shall provide that if a breach of contract occurs prior to completion of the repayment obligations set forth in this article, a penalty equal to 100 percent of the remaining principal amount of all loans received by the recipient shall be assessed.

(c) The Attorney General of Alabama, upon request of the Board of Dental Scholarship and Loan Awards, shall institute proceedings in the name of the state for the purpose of recovering any amount due the state under the provisions of this article. All proceedings involving default or dispute of the contract shall be brought in the appropriate court of jurisdiction in Montgomery County, Alabama. The proceedings to have the dentist’s certificate or license revoked shall be commenced upon the written complaint of the Board of Dental Scholarship and Loan Awards to the State Board of Dental Examiners. The proceedings shall be in accordance with the provisions of Alabama law pertaining to the revocation of licenses to practice dentistry. Notwithstanding any other provision of this section, applicants and participants in the Alabama Dental Service Program shall repay loans as called for in written contracts outlined in Section 16-47-79.