SECTION 102.45. Procedure for Filing Certificates of Deposit as Security

(a) If the registrant provides a certificate of deposit as security under the Health Spa Act, §702.151, the certificate of deposit must be issued by a financial institution in this state whose deposits are insured by the Federal Deposit Insurance Corporation, the Savings Association Insurance Fund, or the National Credit Union Administration. The certificate of deposit must be assigned to the secretary of state, payable to the State of Texas for the use and benefit of each member of a health spa who suffers financial loss due to closure of a health spa. The assignment shall remain in full force and effect until expressly withdrawn by the assignor with the approval of the secretary of state.

(b) A copy of the document, issued by the financial institution evidencing the existence of the certificate of deposit must be filed along with an executed assignment form. The assignment form can be obtained from the Statutory Documents Section of the Office of the Secretary of State, P.O. Box 13550, Austin, Texas 78711-3550. The assignment form is also available on the secretary of state web site at http://www.sos.state.tx.us/statdoc/statforms.shtml#HSF. See form 3004.

Source Note: The provisions of this §102.45 adopted to be effective January 18, 1993, 18 TexReg 61; amended to be effective September 6, 1999, 24 TexReg 6967; amended to be effective December 27, 2004, 29 TexReg 11948; amended to be effective April 20, 2009, 34 TexReg 2375