| (a) In each year in which the balance of the Auctioneer
Education and Recovery Fund is less than $350,000 the department will
determine the fee that shall be paid by all license holders into the
Auctioneer Education and Recovery Fund (the Fund).
(b) The necessity for assessing the fee will be determined
by the department based on the Fund balance on each December 31st.
The fee shall be paid in addition to the renewal fee. The renewal
notice sent by the department will reflect the fee due to the Fund.
(c) Applicants for an auctioneer license shall pay
the initial recovery fee to the Fund before a license will be issued.
(d) If the department determines, either with the agreement
of the auctioneer and claimant or at a hearing held on a disputed
amount, that the auctioneer owes to the aggrieved person damages greater
than the maximum of $15,000 allowed under the Act, the auctioneer
must pay the amount not paid by the department to the aggrieved party.
If the department determines that the auctioneer owes damages to more
than one aggrieved person arising out of one auction at one location,
and the sum of all damages owed exceeds $30,000, the department shall
prorate $30,000 from the Fund among the aggrieved persons, and the
auctioneer must pay the amount not paid to each of the aggrieved persons.
(e) The total payment from the Fund of claims against
an auctioneer may not exceed $30,000. If additional claims are filed
before the auctioneer has reimbursed the Fund and repaid any amounts
due an aggrieved party, the department shall hold a hearing to determine
if the additional claims must be satisfied by the auctioneer before
the department issues or renews a license, whether probated or not.
(f) If a claim is paid against an auctioneer, and the
auctioneer cannot immediately reimburse the Fund, the executive director
may allow the auctioneer to sign an agreement with the department
to reimburse the Fund at the applicable rate described below plus
the interest accrued on the unpaid principal during the prior month
at the rate of 8 percent per year.
(g) If an amount is due an aggrieved party, and the
auctioneer cannot immediately pay the aggrieved party, the executive
director may allow the auctioneer to sign an agreement with the party
to reimburse the aggrieved party at the applicable rate described
below plus the interest accrued on the unpaid principal during the
prior month at the rate of 8 percent per year.
(h) Reimbursement of the principal owed is to be paid
in monthly installments determined by agreement between the department
and the auctioneer with consideration given to input from any aggrieved
party. If an agreement is not reached, monthly installments shall
be determined as a percentage of the initial principal amount according
to the following schedule:
(1) $0.01 - $500.00--20%
(2) $500.01 - $1,000--10%
(3) $1,000.01 - $3,000.00--5%
(4) $3,000.01 and over--3%
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| Source Note: The provisions of this §67.40 adopted to be effective April 3, 2001, 26 TexReg 2538; amended to be effective December 1, 2006, 31 TexReg 9601; amended to be effective January 1, 2014, 38 TexReg 9507 |
