Section 7. Penal bond.
(a) General rule.--The department shall issue a license under this act if the applicant obtains and maintains a bond in an amount greater than the total amount of Pennsylvania consumer funds that the licensee will hold directly or in trust at any time, in a form acceptable to the department, prior to the issuance of the license, from a surety company authorized to do business in this Commonwealth. The bond shall be a penal bond conditioned on compliance with this act and subject to forfeiture by the department and shall run to the Commonwealth for its use. The bond shall also be for the use of any person against the licensee for the benefit of any consumer who is injured by a violation of this act or regulation promulgated under this act.
(b) Rights of aggrieved persons.--
(1) If the person is aggrieved, the person may, with the
written consent of the department, recover fees and costs
from the bond by filing a claim with the surety company or
maintaining an action on the bond.
(2) In the alternative, an aggrieved person may recover
fees and costs by filing a formal complaint against the
licensee with the department which shall adjudicate the
matter. The adjudication shall be binding upon the surety
company and enforceable by the department in Commonwealth
Court and by an aggrieved person in any court.
(3) Any aggrieved person seeking to recover from a bond
that has already been forfeited by the department or which
the department is in the process of forfeiting may recover
payment on the bond if, after filing a petition with the
department, the department consents to the aggrieved person's
requested payment or portion thereof. The department may pay
the aggrieved person from the bond proceeds it recovers.
(c) Other relief.--
(1) Nothing in this section shall be construed to limit
the ability of any court or magisterial district judge to
award to any aggrieved person other damages, court costs and
attorney fees as permitted by law, but those claims that are
not fees or related costs may not be recovered from the bond.
(2) The department, in its discretion, may consent to or
order pro rata or other recovery on the bond for any
aggrieved person if claims against the bond may or do exceed
its full monetary amount.
(d) Cancellation of bonds.--No bond shall comply with the requirements of this section unless it contains a provision that it shall not be canceled for any cause unless notice of intention to cancel is given to the department at least 30 days before the day upon which cancellation shall take effect. Cancellation of the bond shall not invalidate the bond regarding the period of time it was in effect.