Georgia § 10-13A-7 - Bond from nonparticipating manufacturers; escrow.

§ 10-13A-7. Bond from nonparticipating manufacturers; escrow.

All nonparticipating manufacturers shall post a bond for the benefit of the state which is subject to execution under subsection (c) of this Code section. The bond shall be posted by a corporate surety located within the United States. The bond shall be posted and evidence of such posting shall be provided to the Attorney General with the nonparticipating manufacturer's quarterly and annual certifications as a condition of the nonparticipating manufacturer and its brand families being included or remaining in the directory for the following quarter or year. The amount of the bond shall be the greater of: Fifty thousand dollars; or The highest amount of escrow owed in Georgia by the nonparticipating manufacturer or its predecessor in the last 12 quarters. If a nonparticipating manufacturer that posted a bond has failed to make, or have made on its behalf by an entity with joint and several liability, escrow deposits equal to the full amount owed for a quarter within 15 days following the due date for the quarter under Code Section 10-13-3 , the state may execute upon the bond, first to recover delinquent escrow, which amount shall be deposited into a qualified escrow account under Code Section 10-13-3 , and then to recover civil penalties and costs authorized under such Code section. Escrow obligations above the amount collected on the bond remain due from that nonparticipating manufacturer and from the importers that sold its cigarettes during that calendar quarter and at any time prior to the removal of the nonparticipating manufacturer and brand from the directory. (Code 1981, § 10-13A-7 , enacted by Ga. L. 2016, p. 528, § 3/HB 899.) Effective date. - This Code section became effective July 1, 2016. Editor's notes. - Ga. L. 2016, p. 528, § 1/HB 899, effective July 1, 2016, redesignated former Code Section 10-13A-7 as present Code Section 10-13A-8. Administrative Rules and Regulations. - Rules Governing Escrow Payments from Non-Participating Tobacco Product Manufacturers, Official Compilation of the Rules and Regulations of the State of Georgia, Department of Law, Consumer Interest Section, Chapter 60-1-1.