§ 7803. License requirements for life settlement providers. (a) No
person shall engage in the business of life settlements as a life
settlement provider in this state without having authority to do so by
virtue of a life settlement provider license issued and in force
pursuant to this article.

(b)(1) The superintendent may issue a life settlement provider license
to any person who is deemed by the superintendent to be trustworthy and
competent to act as a life settlement provider and who is otherwise
qualified as required in this article and who has complied with the
prerequisites prescribed in this article.

(2) Every license issued pursuant to this section shall expire on June
thirtieth of odd-numbered years.

(c)(1) Application for a life settlement provider license shall be
made to the superintendent by the applicant on a form prescribed by the
superintendent, and the application shall be accompanied by a fee in an
amount to be established by the superintendent.

(2) The applicant for a life settlement provider license shall:

(A) fully disclose the identity of all stockholders (except
stockholders owning fewer than ten percent of the voting shares of a
life settlement provider whose shares are publicly traded), partners,
officers, members, directors and persons with a controlling interest.
For purposes of this section, "controlling interest" means a person who
directly or indirectly, has the power to cause to be directed the
management, control or activities of such licensee;

(B) provide a detailed plan of operation;

(C) provide, if a legal entity, a certificate of good standing from
the state of its domicile;

(D) provide an anti-fraud plan that meets the requirements of article
four of this chapter;

(E) demonstrate financial accountability as evidenced by a bond or
other method for financial accountability as determined by the
superintendent pursuant to regulation; and

(F) provide any other information required by the superintendent.

(d) The superintendent may require an applicant for such license to
submit a set of fingerprints. Such fingerprints shall be submitted to
the division of criminal justice services for a state criminal history
record check, as defined in subdivision one of section three thousand
thirty-five of the education law, and may be submitted to the federal
bureau of investigation for a national criminal history record check.
All such criminal history records sent to the superintendent pursuant to
this paragraph shall be confidential pursuant to the applicable federal
and state laws, rules and regulations, and shall not be published or in
any way disclosed to persons other than the superintendent, unless
otherwise authorized by law. The superintendent shall provide such
applicant with a copy of his or her criminal history record, if any,
together with a copy of article twenty-three-A of the correction law,
and inform such applicant of his or her right to seek correction of any
incorrect information contained in such record pursuant to regulations
and procedures established by the division of criminal justice services.
All determinations to grant or deny clearance for licensure pursuant to
this section shall be in accordance with subdivision sixteen of section
two hundred ninety-six of the executive law and article twenty-three-A
of the correction law. When the superintendent denies an application,
written notice of such determination shall be given to the prospective
applicant who shall be afforded notice and the right to be heard and
offer proof in opposition to such determination.

(e)(1) As part of the application, the applicant shall submit a power
of attorney designating the superintendent as agent for the purpose of
receiving service of legal documents or process.

(2) The power of attorney shall include the name and address of the
officer, agent, or other person to whom such legal documents or process
shall be forwarded by the superintendent or his or her deputy on behalf
of such life settlement provider.

(3) Service of legal documents or process upon a life settlement
provider pursuant to this subsection shall be made by serving the
superintendent, any deputy superintendent or any salaried employee of
the department whom the superintendent designates for such purpose with
two copies thereof and the payment of a fee of forty dollars. The
superintendent shall forward a copy of such legal documents or process
by registered or certified mail to the life settlement provider at the
address given in its written certificate of registration, and shall keep
a record of all legal documents or process so served. Service of legal
documents or process so made shall be deemed made within the territorial
jurisdiction of any court in this state.

(f) The superintendent, in the exercise of the superintendent's
discretion, may refuse to issue a life settlement provider license in
the name of any person if not satisfied that any officer, employee,
stockholder, partner, director, member, agent, or responsible person
thereof, who may materially influence the applicant's conduct, meets the
standards of this article.

(g) Every license issued pursuant to this section may be renewed for
the ensuing period of twenty-four months upon the filing of an
application in conformity with this section.

(h)(1) Before the renewal of any life settlement provider license
shall be issued, an application for renewal of the license shall be made
to the superintendent by the applicant on a form prescribed by the
superintendent and containing such information as the superintendent may
prescribe. The application shall be accompanied by a fee in an amount to
be established by the superintendent.

(2) If an application for a renewal license shall have been filed with
the superintendent before the expiration of the license, then the
license sought to be renewed shall continue in full force and effect
either until the issuance by the superintendent of the renewal license
applied for or until five days after the superintendent shall have
refused to issue such renewal license and shall have given notice of
such refusal to the applicant. Before refusing to renew any such
license, the superintendent shall notify the applicant of the
superintendent's intention to do so and shall give such applicant a
hearing.

(3) An application for the renewal of a license shall be filed with
the superintendent not less than sixty days prior to the date the
license expires or the applicant may be subject to a further fee for
late filing, as prescribed by the superintendent.

(i) A life settlement provider licensee shall provide to the
superintendent new or revised information about stockholders (except
stockholders owning fewer than ten percent of the voting shares of a
life settlement provider whose shares are publicly traded), partners,
officers, members, directors, designated employees or persons with a
controlling interest within thirty days of the change.

(j) Every individual applicant for a license under this section shall
be eighteen years of age or older at the time of the issuance of such
license.