69-2707.01. Nonparticipating manufacturers; bond or cash equivalent; amount; provide evidence to Attorney General and Tax Commissioner; failure to make escrow deposits; execution upon bond.
(1) All nonparticipating manufacturers subject to the certification requirements of section 69-2706, or whose sales are authorized pursuant to an agreement under section 77-2602.06, shall post a bond, or its cash equivalent, for the benefit of the state, which is subject to execution under subsection (5) of this section. The bond shall be posted by corporate surety located within the United States. The cash equivalent of the bond shall be posted by the nonparticipating manufacturer in an account approved by the Attorney General.
(2) The amount of the bond, or its cash equivalent, shall be the greater of:
(a) One hundred thousand dollars;
(b) The greatest required escrow amount due from the nonparticipating manufacturer, or its predecessors, successors, affiliates, importers, or stamping agents, as such terms may be defined and liabilities may be established within sections 69-2701 to 69-2711, for any of the preceding twenty calendar quarters; or
(c) The greatest required annual total of quarterly escrow amounts due from the nonparticipating manufacturer, or its predecessors, successors, affiliates, importers, or stamping agents, as such terms may be defined and liabilities may be established within sections 69-2701 to 69-2711, for any of the preceding five calendar years, if the Attorney General deems the nonparticipating manufacturer to pose an elevated risk for noncompliance.
(3) The Attorney General may deem a nonparticipating manufacturer to pose an elevated risk for noncompliance if:
(a) The nonparticipating manufacturer or its brands or brand families, or any predecessor, successor, affiliate, or importer or any of their brands or brand families, has failed to deposit fully the amount due on an escrow obligation with respect to any state at any time during the calendar year or within the preceding five calendar years unless either:
(i) The nonparticipating manufacturer did not underdeposit knowingly or recklessly and promptly cured the underdeposit within one hundred eighty days of notice of the underdeposit; or
(ii) The underdeposit or lack of deposit is the subject of a good faith dispute in the form of ongoing litigation that has not reached a final order as reasonably documented to the Attorney General and the underdeposit is cured within one hundred eighty days of entry of a final order establishing the amount of the required escrow deposit;
(b) Any state has removed the nonparticipating manufacturer or its brands or brand families, or any predecessor, successor, affiliate, or importer or any of their brands or brand families, from the state's tobacco directory for noncompliance with the state's escrow deposit or tobacco tax laws at any time during the calendar year or within the preceding five calendar years, unless such removal is subject to a good faith dispute in the form of an ongoing challenge under administrative procedure or litigation that has not reached a final order as reasonably documented to the Attorney General;
(c) Any state has an unsatisfied final judgment against the nonparticipating manufacturer or its brands or brand families, or any predecessor, successor, affiliate, or importer or any of their brands or brand families, for escrow or for penalties, fees, costs, refunds, or attorney's fees related to noncompliance with state escrow laws;
(d) The nonparticipating manufacturer, or any predecessor, successor, or affiliate, sells its cigarettes or tobacco products directly to consumers via remote or other non-face-to-face means;
(e) A state or federal court determines that the nonparticipating manufacturer, or any predecessor, successor, or affiliate, has violated any tobacco tax or tobacco control law or engaged in unfair business practices or unfair competition;
(f) Any state has suspended or revoked a license granted to the nonparticipating manufacturer, or any predecessor, successor, or affiliate, to engage in any aspect of tobacco business, unless the suspension or revocation is subject to a good faith dispute in the form of an ongoing challenge under administrative procedure or litigation that has not reached a final order as reasonably documented to the Attorney General;
(g) Any state or federal court has determined that the nonparticipating manufacturer, or any predecessor, successor, or affiliate, failed to comply with state or federal law imposing marking, labeling, and stamping requirements or requiring information to be affixed to, or contained in, the labels, markings, or packaging; or
(h) The nonparticipating manufacturer fails to submit or complete any required forms, documents, certification, or notices, in a timely manner or to the satisfaction of the Attorney General or Tax Commissioner, unless such failure is subject to a good faith dispute in the form of an ongoing challenge under administrative procedure or litigation that has not reached a final order as reasonably documented to the Attorney General.
(4) A nonparticipating manufacturer shall post the bond or its cash equivalent and shall provide evidence of such posting to the Attorney General and Tax Commissioner both annually, as required by section 69-2706, and at least ten days in advance of each calendar quarter as a condition to the nonparticipating manufacturer and its brands or brand families being included in the directory.
(5) If a nonparticipating manufacturer that posted a bond pursuant to this section has failed to make, or have made on its behalf by an entity with joint and several liability, escrow deposits equal to the full amount owed for a quarter within fifteen days following the due date for the quarter under section 69-2703, the state may execute upon the bond, first to recover delinquent escrow, which amount shall be deposited into a qualified escrow account under section 69-2703, and then to recover civil penalties and costs authorized under such section. Escrow obligations above the amount collected on the bond remain due from that nonparticipating manufacturer and, as provided in subdivision (2)(d) of section 69-2703 and section 69-2708.01, from the importers and stamping agents that sold its cigarettes during that calendar quarter.
Source
Structure Nebraska Revised Statutes
Chapter 69 - Personal Property
69-109 - Security interest; personal property; sale or transfer without consent; penalty.
69-110 - Security interest; personal property; removal from county; penalty.
69-202 - Permit required; fees; application, contents; issuance; bond.
69-203 - Permit; business location; prohibited activities.
69-204 - Records required; inspection; stolen property; procedures.
69-205 - Reports to police; when required.
69-206 - Pawned or secondhand goods; restrictions on disposition; jewelry defined.
69-208 - Violation; penalty; permit; suspension or revocation; procedure.
69-209 - Pawnbroker; limitation on sale of goods.
69-210 - Pawnbrokers; customer fingerprint required; restrictions on property accepted.
69-303 - Ophthalmic provider; contact lens prescription.
69-304 - Ophthalmic provider; registration; requirements.
69-307 - Rules and regulations.
69-310 - Contact lenses or spectacles; prescription; contents; release to patient.
69-311 - Operation of kiosk; conditions.
69-312 - Over-the-counter spectacles.
69-314 - Rules and regulations.
69-403 - Peace officer; right to inspect property and records.
69-404 - Secondary metals recycler; limitations on payment.
69-405 - Seller; age restriction; identification required.
69-406 - Limitation on metal beer keg purchase or receipt.
69-406.01 - Manhole cover or sewer grate; purchase or receipt; limitations; payment.
69-409 - Sections; how construed.
69-505 - Marking; inspections.
69-507 - Tax Commissioner; power to inspect; notice to State Fire Marshal.
69-508 - Attorney General; enforcement powers.
69-510 - Termination of act; conditions; preemption of local law.
69-511 - State Fire Marshal; rules and regulations.
69-1002 - Sale at auction; containers; labels; statement required.
69-1003 - Sale at auction; false statements; liability.
69-1004 - Sale at auction by carrier; when act inapplicable.
69-1005 - Violations; penalty.
69-1006 - Poultry; sales record; exceptions.
69-1007 - Poultry; sales record; violation; penalty.
69-1008 - Poultry; sale or delivery; false representations; penalty.
69-1102 - Violations; penalty.
69-1202 - Debt management; exceptions to act.
69-1204 - License; application; fees; bond; expiration; copy of contract.
69-1205 - License; application; investigation; issuance.
69-1206 - License; renewal; fee; bond.
69-1207 - License; Secretary of State; deny; revoke; suspend; nontransferable.
69-1208 - Rules and regulations; promulgation.
69-1209 - Licensee; contract with debtor required; contents.
69-1210 - Licensee; bank account; separate; books and records.
69-1211 - Licensee; examination; cost; payment.
69-1212 - Licensee; debtor; fee; agreement; limitations.
69-1214 - Licensee; acts forbidden.
69-1215 - Unlawful acts; penalty.
69-1216 - Limitation of actions.
69-1303 - Unclaimed funds held and owing by a life insurance corporation; presumed abandoned; when.
69-1304 - Funds held or owing by any utility; presumed abandoned; when.
69-1305 - Stock, shareholding, or other intangible ownership interest; presumed abandoned; when.
69-1305.01 - Stock or other intangible ownership interest; applicability of act; conditions.
69-1305.02 - Credit memo; presumed abandoned; when.
69-1305.03 - Gift certificate or gift card; presumed abandoned; when.
69-1307.02 - Unpaid wages; presumed abandoned; when.
69-1307.03 - Retirement funds; presumed abandoned; when.
69-1307.04 - Mineral rights and proceeds; presumed abandoned; when.
69-1307.06 - Military medal; report and delivery to State Treasurer.
69-1307.07 - Military medals; State Treasurer; duties.
69-1308 - Other intangible property; general-use prepaid card; presumed abandoned; when.
69-1309 - Owner in another state; property not presumed abandoned; when.
69-1311 - Report of property presumed abandoned; notices; time; contents; exceptions.
69-1312 - Delivery of property to State Treasurer; exceptions.
69-1314 - Property paid or delivered to State Treasurer; owner not entitled to income.
69-1315 - Limitation of action; claim; effect.
69-1316 - Abandoned property; State Treasurer; sell; when; notice; title.
69-1318.01 - Payment with respect to support order obligor authorized.
69-1319 - Claim; hearing; decision; payment.
69-1320 - Claim; appeal; procedure.
69-1322 - Failure to report property; State Treasurer; powers and duties; holder; duties.
69-1323 - Refusal to deliver property; action to enforce delivery.
69-1324 - Failing to render report or refusing to pay or deliver property; penalty.
69-1325 - State Treasurer; rules and regulations; adopt.
69-1326 - Property exempt from act.
69-1330 - Certain unclaimed property; disposition.
69-1331 - Unclaimed property; sale; disposal; procedure.
69-1332 - Unclaimed property; sale proceeds; disposition.
69-1501 - Retailer; contract; termination; reimbursement for implements, machinery, and parts.
69-1502 - Prices for implements, machinery, and parts; how determined.
69-1504 - Retail dealer; majority stockholder; death; settlement with heirs.
69-1602 - Disclosure obligations.
69-1603 - Right to cancel; manner of cancellation.
69-1604 - Notice of right to cancel; form; foreign language; when delivered; time; exception.
69-1605 - Cancellation, effect.
69-1606 - Duty of buyer; failure of seller to take possession; performance of service, how treated.
69-1607 - Sale made in violation of sections; buyer recovery.
69-1701 - Outdoor advertising sign; removal by public body; compensation; how determined; exception.
69-1702 - Nonconforming advertising sign; conformance required; when.
69-1804 - Manufacturer; provide information.
69-1805 - Supplier of turquoise; provide information.
69-1808 - Violations; penalty.
69-1903 - Distribution for promotional purposes prohibited.
69-1904 - Enforcement; penalty.
69-2002 - Definitions, where found.
69-2003 - Biodegradable, defined.
69-2004 - Degradable, defined.
69-2005 - Photodegradable, defined.
69-2006 - Recyclable, defined.
69-2008 - Beverage container connectors; requirements.
69-2009 - Garbage bags; requirements.
69-2010 - Grocery or shopping bags; requirements.
69-2011 - Disposable diapers; requirements; Director of Environment and Energy; duties.
69-2012 - Violations; penalty.
69-2102 - Legislative findings.
69-2104 - Lessor; disclosures required.
69-2105 - Disclosures; how made; rules and regulations; agreement; contents.
69-2106 - Written receipt; required; when.
69-2107 - Agreements; prohibited provisions.
69-2108 - Agreement; contents.
69-2109 - Lessor; prohibited acts.
69-2110 - Fees; deposits; charges.
69-2111 - Renegotiation; when; extension; effect.
69-2112 - Advertisement; requirements.
69-2113 - Lessor; liability; offset, not permitted; lessor; preserve evidence.
69-2114 - Actions; statute of limitations.
69-2115 - Lessor; not liable; when.
69-2116 - Director of Banking and Finance; investigations; other proceedings; powers.
69-2117 - Cease and desist order; fine; injunction; procedures; appeal.
69-2118 - Examination of books and records.
69-2119 - Personal jurisdiction over lessor.
69-2201 - Unsolicited goods or merchandise; disposal.
69-2303 - Personal property remaining on premises; landlord; duties; notice; contents; delivery.
69-2304 - Notice; statement required.
69-2306 - Landlord; property; removal and storage; liability.
69-2307 - Landlord; release of personal property; when.
69-2309 - Release or disposition of personal property; liability of landlord.
69-2310 - Costs of storage; how assessed.
69-2312 - Landlord retaining personal property; civil action authorized.
69-2313 - Lost personal property; disposition; liability.
69-2314 - Remedy; not exclusive.
69-2401 - Legislative findings and declarations.
69-2403 - Sale, lease, rental, and transfer; certificate required; exceptions.
69-2404 - Certificate; application; fee.
69-2405 - Application; chief of police or sheriff; duties; immunity.
69-2406 - Certificate; denial or revocation; appeal; filing fee.
69-2407 - Certificate; contents; term; revocation.
69-2408 - False information on application; other violations; penalties; confiscation of handgun.
69-2410 - Importer, manufacturer, or dealer; sale or delivery; duties.
69-2411 - Request for criminal history record check; Nebraska State Patrol; duties; fee.
69-2412 - Records; confidentiality; destruction.
69-2413 - Nebraska State Patrol; toll-free telephone number; personnel.
69-2414 - Records; amendment; procedure.
69-2415 - Records; rules and regulations.
69-2416 - Licensed importer, manufacturer, or dealer; compliance not required; when.
69-2417 - Nebraska State Patrol; licensee; liability defense; when.
69-2418 - Instant criminal history record check; requirements; exemptions.
69-2419 - Criminal history records; prohibited acts; violation; penalty.
69-2420 - False statement; false identification; prohibited acts; violation; penalty.
69-2421 - Sale or delivery; violation; penalty.
69-2422 - Obtaining handgun for prohibited transfer; violation; penalty.
69-2423 - Nebraska State Patrol; annual report; contents.
69-2424 - Rules and regulations.
69-2425 - City or village ordinance; not preempted.
69-2426 - Dealers of firearms; distribution of information; Firearm Information Fund; created.
69-2428 - Permit to carry concealed handgun; authorized.
69-2430 - Application; form; contents; prohibited acts; penalty; permit issuance; denial; appeal.
69-2431 - Fingerprinting; criminal history record information check.
69-2433 - Applicant; requirements.
69-2434 - Permit; design and form.
69-2435 - Permitholder; continuing requirements; return of permit; when.
69-2436 - Permit; period valid; fee; renewal; fee; notice of expiration.
69-2437 - Permit; nontransferable.
69-2438 - Limitation on liability.
69-2439 - Permit; application for revocation; prosecution; fine; costs.
69-2442 - Injury to person or damage to property; permitholder; report required.
69-2443 - Violations; penalties; revocation of permit.
69-2444 - Listing of applicants and permitholders; availability; confidential information.
69-2445 - Carrying concealed weapon under other law; act; how construed.
69-2446 - Rules and regulations.
69-2447 - Department of Motor Vehicles records; use and update of information.
69-2448 - License or permit issued by other state or District of Columbia; how treated.
69-2449 - Information to permitholder regarding lost or stolen handgun or firearm.
69-2503 - Conformity with industry standards; codes required; department; duties.
69-2504 - Violations; penalty; enforcement duties.
69-2506 - Administrative costs; limitation; payment.
69-2602 - Definitions, where found.
69-2603 - Assistive device, defined.
69-2604 - Assistive device dealer, defined.
69-2605 - Assistive device lessor, defined.
69-2606 - Collateral costs, defined.
69-2608 - Demonstrator, defined.
69-2609 - Major life activity, defined.
69-2610 - Manufacturer, defined.
69-2611 - Nonconformity, defined.
69-2612 - Reasonable allowance for use, defined.
69-2613 - Reasonable attempt to repair, defined.
69-2614 - Manufacturer; express warranty; requirements.
69-2615 - Manufacturer; consumer; assistive device lessor; duties.
69-2616 - Returned assistive device; resale or subsequent lease; lease; enforcement.
69-2617 - Rights and remedies.
69-2618 - Rental assistive device reimbursement; when.
69-2701 - Tobacco Enforcement Fund; created; use; investment.
69-2702 - Tobacco product manufacturer; terms, defined.
69-2703 - Tobacco product manufacturer; requirements to sell within the state.
69-2703.01 - Unconstitutionality of amendatory provision; effect.
69-2704 - Legislative findings.
69-2707 - Nonresident or foreign nonparticipating manufacturer; agent for service of process.
69-2708 - Stamping agent; duties; Tax Commissioner; Attorney General; powers.
69-2708.01 - Stamping agent; responsible for escrow deposits; when; liability; calculation.
69-2710 - Removal from directory; procedure.
69-2710.01 - Report; contents.