Oklahoma § 47-425 - Insurance policies and bonds - Parties to actions

§ 47-425. Insurance policies and bonds - Parties to actions

(a) No license shall be issued by the Commission until the

applicant shall have filed with each application, and the same have

been approved by the Commission, the following insurance policies

and bonds issued by an insurance carrier or bonding company

authorized to do business within this state. In lieu of such

policies, the applicant may file the written certificate or

certificates of any insurance carrier duly authorized to do business

in this state, certifying that it has issued to, or for the benefit

of, the applicant, named as the insured therein, a policy or

policies meeting the requirements of this section as hereinafter

provided, and that said policy or policies are then in full force

and effect. Such certificate or certificates shall give the dates

of issuance and expiration of such policy or policies, and shall

designate by explicit designation or by appropriate reference all

motor vehicles covered thereby.

(1) A bond in the penal sum of Five Hundred Dollars ($500.00) in

such form as may be prescribed by the Commission for the purpose of

protecting the public against fraud, conditioned upon the delivery

of correct weights, measures, footage, or grades, if the commodities

handled by the itinerant merchant are those customarily sold by

weights, measures, footage, or grades, accurate representation as to

quality or class of such commodities, the actual payment of checks,

drafts or other obligations delivered by the itinerant merchant in

exchange for the purchase of commodities, and conditioned to pay any

judgment or judgments that may be obtained against the itinerant

merchant for civil liability arising out of the conduct of his

business, and further providing for the prompt payment of license

fees and taxes to this state or any governmental subdivision

thereof, including the matters hereinbefore specified in this

paragraph, but not including any causes of action covered by the

insurance policies described in paragraph (2) of this subsection.

Said bond shall further provide that any person dealing with said

itinerant merchant, any person using the commodities handled by him,

and any person holding checks, drafts, or other obligations, shall

have cause of action upon said bond by reason of any violation of

the terms of said bond with respect to such dealing, said

commodities, or said checks, drafts or other obligations.

(2) A liability insurance policy or bond which shall bind the

obligors to pay compensation for injuries to persons and damage to

property resulting from the negligent operation of the motor vehicle

operated under authority of the itinerant merchant's license, said

policy or bond to be conditioned to pay any sum up to Twenty-five

Thousand Dollars ($25,000.00) for personal injury to or death of one

individual, and up to Fifty Thousand Dollars ($50,000.00) for

personal injuries or deaths resulting from any single accident, and

Oklahoma Statutes - Title 47. Motor Vehicles

up to Twenty-five Thousand Dollars ($25,000.00) for damage to

property in any single accident.

(b) Every insurance policy and bond or certificate thereof filed

with the Commission under the provisions of this act shall contain

an endorsement or provision that the same shall not be cancelled by

the obligor, shall not expire, and shall not become reduced in

amount, until thirty (30) days after notice by registered United

States mail has been sent to the Commission of the intention to

cancel the same, or that the same is to expire or is to be reduced

in amount. Upon receipt of such notice the Commission shall

immediately notify the itinerant merchant by registered United

States mail, return receipt requested, of the receipt of such

notice, and shall advise him that unless a new insurance policy or

bond is filed to replace the one to be canceled, or to expire, or to

be reduced in amount, prior to the time such cancellation,

expiration or reduction becomes effective, the license of such

itinerant merchant in connection with which said policy or bond was

issued shall be revoked at the time such cancellation, expiration or

reduction becomes effective. If a new policy or bond is not filed

or the amount of the reduction restored prior to the time such

cancellation, expiration or reduction becomes effective, the

Commission must revoke said license at said time, and licensee shall

return license and license plate to the Commission.

(c) Any person having a cause of action against the itinerant

merchant arising out of the matters described in paragraphs (1) and

(2) of subsection (a) of this section may join said itinerant

merchant and the surety on his bond in the same action, or may sue

said surety without joining said itinerant merchant in the action if

the itinerant merchant is deceased or if it is impossible to obtain

jurisdiction of his person within the state where the cause of

action arose.

Added by Laws 1941, p. 206, § 5. Amended by Laws 2004, c. 519, §

35, eff. Nov. 1, 2004.