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December 22, 2024 Clear | 14°F
The 193rd General Court of the Commonwealth of Massachusetts

Section 12: Attachment of special deposit; execution; notice of claim; payment of fines and penalties

Section 12. Each deposit made with the deputy director shall, during the term of the licensee's license and for sixty days after the return or surrender thereof or the filing of an affidavit of its loss, be subject to attachment and execution in behalf of any creditor of the licensee whose claim arises in connection with the business done under his state license and who gives notice of such claim to the deputy director during such period, and the deputy director may be held to answer as trustee, under the trustee process, in any civil action in contract or tort brought against said licensee for such claim and shall pay over upon execution such amount of money as he may be chargeable with upon his answer. Said deposit shall also be subject to the payment of any fine or penalty imposed on the licensee for violation of any provision of the eleven preceding sections; provided, that written notice of the name of said licensee and of the amount of such fine or penalty is given during such period to the deputy director by the clerk of the court in which, or the trial justice by whom, such fine or penalty was imposed. No payment of any part of said deposit shall be made to the licensee unless so much thereof is retained as is required to discharge all claims, fines and penalties of which notices have been given to the deputy director as herein provided and which remain undecided or unpaid. Upon the giving of notice as herein provided, a bond given in lieu of such deposit may be put in suit by any such creditor to recover the amount of such claim or by any such clerk of court or trial justice to recover the amount of such fine or penalty. If the licensee has made a deposit, the deputy director shall, until said deposit is exhausted, pay or make provision for the payment of all such claims, fines and penalties in the order in which notices thereof were received by him. If the licensee has given a bond, the order in which persons entitled to all such claims, fines and penalties shall recover on the bond shall, until the penal sum of the bond is exhausted, be determined by the order in which notices thereof were received by the deputy director.