New York has already seen a slew of new legislation in the wake of an extreme case of sewer service resulting in nearly 100,000 cases being overturned. From licensing to GPS requirements to hefty fines, the impact has been felt. Now it seems as though another piece of ruling is on the table that has a number of implications for servers.
To start, a process server will be required to obtain a license renewal every two years at a cost of $500. In addition there are stricter rules surrounding the licensing number received such as:
- Any advertisement, letterhead, receipt or printed matter must contain the license number
- Servers cannot indicate that because they have a license number that it is an endorsement of their quality of work in any way
Fines are attached to these rules, with a fine of no less than one hundred dollars and no more than $2,000. That is, if the secretary doesn’t suspend revoke or suspend your license that is.
The new ruling also lays out new rules for the need of a bond, contract of indemnity or irrevocable letter of credit dependent on the number of employees (only counts those who engage in service of process):
- 1-4 employees: $10,000 bond
- 5-9 employees: $25,000
- 10-20 employees: $50,000
- 20+ employees: $75,000
Violations in this section can cost a server anywhere between one hundred and $10,000 for each penalty.
It would seem as though change is coming to the process service industry in the face of a legal system where concern involving sewer service is on the rise.
How do you feel about this rule?