Guam § 12203 - License Required.

§ 12203. License Required.

It shall be unlawful for any person to act as, or offer to act as, or hold

himself or herself out to be a service contract provider, nor may a service

contract be sold to a consumer, unless the service contract provider has a

valid license as a service contract provider issued by the Commissioner. A

service contract provider shall make an application to the Commissioner

upon a form prescribed by the Commissioner, and shall pay to the

Commissioner a fee as provided under this Article. A service contract

provider shall update the application information and documents annually

and furnish such updates to the Commissioner. The application shall include

or be accompanied by the following information and documents:

(a) all basic organizational documents of the service contract

provider, including any articles of incorporation, articles of association,

partnership agreement, trade name certificate, trust agreement,

shareholder agreement, bylaws, and other applicable documents, and all

amendments to those documents;

(b) the identities of the service contract provider’s executive

officers directly responsible for the service contract provider’s service

contract business, and, if more than fifty percent (50%) of the service

contract provider’s gross revenue is derived from the sale of service

contracts, the identities of the service contract provider’s directors and

stockholders having beneficial ownership of ten percent (10%) or more

of any class of securities;

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(c) audited annual financial statements or other financial reports

acceptable to the Commissioner for the two most recent years, which

prove that the applicant is solvent, and any information the

Commissioner may require in order to review the current financial

condition of the applicant;

(d) an application fee of Two Hundred Fifty Dollars ($250.00),

which shall be deposited in the Better Public Service Fund; and

(e) any other pertinent information required by the Commissioner.