Montana § 61-6-137 - Bond As Proof Of Responsibility

§ 61-6-137. Bond As Proof Of Responsibility

Bond as proof of responsibility. (1) Proof of financial responsibility may be furnished by filing with the department the bond of a surety company authorized to transact business in the state or a bond with at least two individual sureties each owning real estate within this state and together having equities equal in value to at least twice the amount of the bond. The real estate must be scheduled in the bond approved by a judge of a court of record. The bond must be conditioned for payments in amounts and under the same circumstances that would be required in a motor vehicle liability policy and may not be cancelable except after 10 days' written notice to the department. Upon the filing of notice to this effect by the department in the office of the county clerk and recorder of the county in which the real estate is located, the bond constitutes a lien in favor of the state upon the scheduled real estate of any surety. The lien exists in favor of any holder of a judgment against the person who has filed the bond. (2) The person in whose favor the lien exists may, for the person's own use and benefit and at the person's sole expense, bring an action or actions in the name of the state against the company or persons executing the bond, including an action or proceeding to foreclose any lien that may exist upon the real estate of any person who has executed the bond. The provisions of the Montana Rules of Civil Procedure, except to the extent that they are inconsistent with the provisions of this part, are applicable to and constitute the rules of practice in the foreclosure actions or proceedings. The provisions of the Montana Rules of Civil Procedure relative to new trials and appeals, except to the extent that they are inconsistent with the provisions of this part, apply to the actions or proceedings.