Bail Bondsmen Revisions.-AB

GENERAL ASSEMBLY OF NORTH CAROLINA
SESSION 2025
H 1
HOUSE BILL 718

Short Title: Bail Bondsmen Revisions.-AB (Public)
Sponsors: Representatives Humphrey and Balkcom (Primary Sponsors).
For a complete list of sponsors, refer to the North Carolina General Assembly web site.
Referred to: Insurance, if favorable, Finance, if favorable, Rules, Calendar, and Operations of
the House
April 3, 2025
*H718-v-1*
A BILL TO BE ENTITLED 1
AN ACT REVISING THE LAWS RELATED TO BAIL BONDSMEN, AS RECOMMENDED 2
BY THE DEPARTMENT OF INSURANCE. 3
The General Assembly of North Carolina enacts: 4
5
PART I. CLARIFY ABRO GATION OF COMMON LAW AND ALLOW 6
OUT-OF-STATE SURETIES TO USE LICENSED BONDSMEN 7
SECTION 1.(a) Article 71 of Chapter 58 of the General Statutes is amended by 8
adding a new section to read: 9
"§ 58-71-2. Statement of purpose and abrogation of the common law. 10
The purpose of this Article is to provide a comprehensive framework for the regulation of all 11
persons licensed under this Article in the capacity of professional bondsmen, surety bondsmen, 12
or runners, or performing any of the functions, duties, or powers prescribed for professional 13
bondsmen, surety bondsmen, or r unners within the State of North Carolina. Any part of the 14
common law that conflicts with the provisions of this Article is expressly abrogated." 15
SECTION 1.(b) G.S. 58-71-30 reads as rewritten: 16
"§ 58-71-30. Arrest of defendant for purpose of surrender. 17
(a) For the purpose of surrendering the defendant, the surety may arrest him before the 18
forfeiture of the undertaking, or by his written authority endorsed on a certified copy of the 19
undertaking, may request any judicial officer to order arrest of the defendant. 20
(b) A surety on a bail bond or undertaking from another state or jurisdiction shall not 21
arrest the defendant in this State for the purposes of surrendering the defendant. 22
(c) Notwithstanding the provisions of subsection (b) of this section, a surety on a bail 23
bond or undertaking from another state or jurisdiction must utilize the services or assistance of 24
any North Carolina surety bondsman, professional bondsman, or runner to effect the arrest or 25
surrender of the defendant. The surety must first provi de the surety bondsman, professional 26
bondsman, or runner with a certified copy of the undertaking." 27
28
PART II. CHANGES TO PROVISIONAL LICENSING OF BONDSMEN 29
SECTION 2.(a) G.S. 58-71-1 reads as rewritten: 30
"§ 58-71-1. Definitions. 31
The following definitions apply in this Article: 32
… 33
General Assembly Of North Carolina Session 2025
Page 2 House Bill 718-First Edition
(4a) First-year licensee. – Any person who has been licensed as a bail bondsman 1
or runner under this Article and who has held the license for a period of less 2
than 12 months. 3
(4b) Direct supervision. – Direction of a provisional li censee's activities by a 4
supervising bail bondsman that involves personal and face-to-face contact on 5
a frequent and reasonable basis. 6
… 7
(8a) Provisional licensee. – Any person licensed as a bail bondsman or runner 8
under this Article for a period of less than 24 months. 9
(8a)(8b) Resident. – A person who lives in this State for at least six consecutive 10
months immediately before applying for a license under this Article. 11
… 12
(9a) Supervising bail bondsman. – Any person licensed by the Commissioner as a 13
professional bondsman or surety bondsman who who (i) meets the 14
requirements of G.S. 58-71-41.1 and G.S. 58-71-50 and (ii) employs or 15
contracts with any new licensee under this Article.a provisional licensee under 16
this Article. 17
… 18
(11) Surety bondsman. – Any person who is licensed by the Commissioner as a 19
surety bondsman under this Article, is appointed by an insurer by power of 20
attorney to execute or countersign bail bonds for the insurer in connection with 21
judicial proceedings, proceedings of another, and who receives or is promised 22
consideration for doing so." 23
SECTION 2.(b) G.S. 58-71-41 reads as rewritten: 24
"§ 58-71-41. First-year Provisional licensees; limitations. 25
(a) Except as provided in this section, a first-year provisional licensee shall have the same 26
authority as other persons licensed as bail bondsmen or runners under this Article. Except as 27
provided in subsection (d) of this section, a first-year provisional licensee shall operate only 28
under the direct supervision of and from the official business address of a licensed supervising 29
bail bondsman bondsman, who shall be responsible for the direct supervision of the provisional 30
licensee, for the first 12 24 months of licensure. A first-year provisional licensee may only be 31
employed by or contract with one supervising bail bondsman. 32
(b) When a first-year provisional licensee has completed 12 24 months of supervision, 33
six of which shall be uninterrupted, the su pervising bail bondsman shall give notice of that fact 34
to the Commissioner in writing. If the licensee will continue to be employed by or contract with 35
the supervising bail bondsman beyond the initial 12-month 24-month period, the supervising bail 36
bondsman shall continue to supervise and be responsible for the licensee's acts. 37
(c) If the employment of or contract with a first-year provisional licensee is terminated, 38
the supervising bail bondsman shall notify the Commissioner in writing and shall specify the 39
reason for the termination. 40
(d) If, after exercising due diligence, a first-year licensed bail bondsman provisional 41
licensee is unable to become employed by or to contract with a supervising bail bondsman, the 42
first-year licensed bail bondsman provisional licensee must submit to the Department a sworn 43
affidavit stating the relevant facts and circumstances regarding the first-year licensed bail 44
bondman's provisional licensee's inability to become employed by or contract with a supervising 45
bail bondsman. The Department shall review the affidavit and determine whether the first-year 46
licensed bail bondsman provisional licensee will be allowed to operate as an unsupervised bail 47
bondsman. A first-year licensed bail bondsman is prohibited from becoming a supervisi ng bail 48
bondsman during the first two five years of licensure. 49
(e) Provided all other licensing requirements are met, an applicant for a bail bondsman 50
or runner's license who has previously been licensed with the Commissioner for a period of at 51
General Assembly Of North Carolina Session 2025
House Bill 718-First Edition Page 3
least 18 consecutive months and who has been inactive or unlicensed for a period of not more 1
than three consecutive years shall not be deemed a new licensee for purposes of this section." 2
SECTION 2.(c) Article 71 of Chapter 58 of the General Statutes is amended by 3
adding a new section to read: 4
"§ 58-71-41.1. Requirements for supervising bail bondsmen. 5
(a) A bail bondsman who seeks to act as a supervising bail bondsman or to restore a 6
revoked supervising bail bondsman status shall meet all of the following requirements: 7
(1) Submit an application on a form approved by the Commissioner and pay a 8
two hundred dollar ($200.00) application fee. 9
(2) Have five years of uninterrupted experience as a licensed bail bondsman in 10
this State. 11
(3) Have not violated an order of the Commissioner or had adverse administrative 12
action taken against the bail bondsman's license pursuant to G.S. 58-71-80. 13
(4) The bail bondsman shall possess or demonstrate the competence, experience, 14
or integrity considered by the Commissioner to be necessary to serve as a 15
supervising bail bondsman. 16
(b) A supervising bail bondsman shall submit to the Commissioner, on a form prescribed 17
by the Commissioner, both of the following: 18
(1) No later than May 31 of each year, a renewal application on a form prescribed 19
by the Commissioner. Failure to comply with this subdivision shall result in 20
revocation of a bondsman's status as a supervising bail bondsman. 21
(2) No later than the fifth business day of each month, a record of each provisional 22
licensee supervised by the supervising bail bondsman. 23
(c) A supervising bail bondsman shall not: 24
(1) Charge a fee for supervising a provisional licensee. 25
(2) Supervise more than two provisional licensees at one time." 26
SECTION 2.(d) Any bail bondsman (i) acting as or seeking to act as a supervising 27
bail bondsman or (ii) seeking to restore a revoked supervising bail bondsman status shall submit 28
the application and fee required by G.S. 58-71-41.1, as enacted by this act, within 60 days of the 29
effective date of this act. 30
31
PART III. CHANGES TO DISCIPLINARY STATUT E TO ALLOW FOR 32
ADMINISTRATIVE ACTIO N BASED ON THE COMMI SSION OF CERTAIN 33
CRIMES; PROVISIONAL LICENSEE CONFORMING CHANGE 34
SECTION 3. G.S. 58-71-80 reads as rewritten: 35
"§ 58 -71-80. Grounds for denial, suspension, probation, revocation, or nonrenewal of 36
licenses. 37
(a) The Commissioner may deny, place on probation, suspend, revoke, or refuse to renew 38
any license issued under this Article, in accordance with the provisions of Article 3A of Chapter 39
150B of the General Statutes, for any one or more of the following causes: 40
… 41
(6a) Violation of a statute or ordinance that results in injury or death. 42
… 43
(8a) When, in the judgment of the Commissioner, the licensee has used 44
unnecessary or excessive force in performing the functions, duties , and 45
powers under the license issued by the Commissioner. 46
… 47
(b) The Commissioner shall deny, revoke, or refuse to renew any license under this 48
Article if if (i) the applicant or licensee is or has ever be en convicted of a felony.felony or (ii) 49
pursuant to the provisions of Article 3A of Chapter 150 of the General Statutes, the 50
General Assembly Of North Carolina Session 2025
Page 4 House Bill 718-First Edition
Commissioner, or another appropriate administrative body, finds that the applicant or licensee 1
performed the acts necessary to satisfy the elements of a felony. 2
… 3
(b3) For the purposes of this section, a conviction includes an adjudication of guilt, a plea 4
of guilty, and a plea of nolo contendere. 5
(c) In the case of a first-year provisional licensee whose employment or contract is 6
terminated prior to the end of the 12-month 24-month supervisory period, the Commissioner may 7
consider all information provided in writing by the supervising bail bondsman in determining 8
whether sufficient cause exi sts to suspend, revoke, or refuse to renew the license or to warrant 9
criminal prosecution of the first-year provisional licensee. If the Commissioner determines there 10
is not sufficient cause for adverse administrative action or criminal prosecution, the te rmination 11
shall not be deemed an interruption and the period of time the licensee was employed by or 12
contracted with the terminating supervising bail bondsman will be credited toward the licensee's 13
completion of the required 12 24 months of supervision wit h a subsequent supervising bail 14
bondsman. 15
…." 16
17
PART IV. CHANGE DUE DATE FOR CONTINUING EDUCATION REQUIREMENTS 18
AND RENEWAL APPLICATIONS 19
SECTION 4.(a) G.S. 58-71-71(b) reads as rewritten: 20
"(b) Each year by June 30 May 15 every licensee shall complete at least three hours of 21
continuing education as provided by an approved provider in subjects related to the duties and 22
responsibilities of a runner or bail bondsman. This continuing education shall not include a 23
written or oral examination. A person who receives his or her first license on or after January 1 24
of any year does not have to comply with this subsection until June 30 May 15 of the following 25
year." 26
SECTION 4.(b) G.S. 58-71-75(b) reads as rewritten: 27
"(b) Renewal Application. – In even-numbered years, a bail bondsman or runner seeking 28
to renew a license shall shall, by May 15, provide the Commissioner prior to the expiration date 29
of the bail bondsman's or runner's current license, all of the following: 30
…." 31
32
PART V. PHYSICAL LOCATION FOR OFFICIAL BUSINESS ADDRESS 33
SECTION 5. G.S. 58-71-40 reads as rewritten: 34
"§ 58-71-40. Bail bondsmen and runners to be qualified and licensed; license applications 35
generally. 36
(a) No person shall act in the capacity of a professional bondsman, surety bondsman, or 37
runner or perform any of the functions, duties, or powers prescribed for professional bondsmen, 38
surety bondsmen, or runners under this Article unless that person is qualified and licensed under 39
this Article. No licensee shall participate in or solicit assistance in securing custody of a principal 40
by another not licensed under this Article. No license shall be issued under this Article except to 41
an individual natural person. 42
… 43
(f) A licensee shall have an official business address that is a physical location in the 44
State of North Carolina. Official business addresses shall reflect an established office separate 45
and apart from any residence or other business. The address required by this subsection shall be 46
provided to the Commissioner designating where required business records are maintained upon 47
examination pursuant to G.S. 58-71-170. The physical location used as the official business 48
address must comply with all local or municipal zoning ordinances and regulations. Use of a post 49
office box as an official business address is prohibited." 50
51
General Assembly Of North Carolina Session 2025
House Bill 718-First Edition Page 5
PART VI. QUALIFICATIONS FOR BONDSMEN 1
SECTION 6. G.S. 58-71-50 reads as rewritten: 2
"§ 58-71-50. Qualification for bail bondsmen and runners. 3
… 4
(b) Qualifications. – Every applicant for a license under this Article as a bail bondsman 5
or runner must meet all of the following qualifications: 6
… 7
(8) Hold a valid and current North Carolina drivers license or valid North 8
Carolina identification car d issued by the Division of Motor 9
Vehicles.Vehicles and comply with all motor vehicle financial responsibility 10
requirements pursuant to G.S. 20-309. 11
…." 12
13
PART VII. EFFECTIVE DATE 14
SECTION 7. This act becomes effective July 1, 2025, and applies to bail bondsmen 15
licenses issued or renewed on or after that date. 16