31A-15-107 - Defense of action by unauthorized person. - Utah Statutes

31A-15-107. Defense of action by unauthorized person.
(1) Except under Subsection (3), no pleading, notice, order, or process in any action incourt or in any administrative proceeding before the commissioner instituted against anunauthorized person under Sections 31A-2-309 and 31A-2-310 may be filed by or on behalf ofthe unauthorized person unless one of the following conditions exists:
(a) The unauthorized person deposits with the clerk of the court in which the action orproceeding is pending, or with the commissioner in administrative proceedings, cash, securities,or a bond with sureties in an amount fixed by the court or the commissioner, sufficient to securethe payment or performance of any probable final judgment or order.
(b) That person procures proper authorization to do an insurance business in Utah.
(c) The commissioner, after a hearing, issues an order stating that he is satisfied theperson has funds or securities, in a state of the United States, in trust or otherwise, which arereadily available and adequate to satisfy any probable final judgment or to perform in accordancewith any order.
(2) The court in any action or proceeding under this section, or the commissioner in anyadministrative proceeding under this section, may order any postponement he considersnecessary to give the unauthorized person a reasonable opportunity to comply with Subsection(1).
(3) Subsection (1) does not prevent an unauthorized person from filing a motion to quasha writ or to set aside service on the ground that the person has not done any of the acts specifiedunder Subsection 31A-15-102(2).

Enacted by Chapter 242, 1985 General Session