37-26-4. Loss covered by bond--Filing and approval of bond--Action on bond.
The bond required by §37-26-3 shall be in favor of the state for the benefit of any member who suffers loss of any prepayment made pursuant to a contract entered into after March 27, 1975, due to insolvency of the club or the cessation of business by the club. The bond shall be filed with, and approved by, the attorney general. Any person claiming against the bond may maintain an action at law against the club and the surety.
Source: SL 1975, ch 246, §8; SL 1987, ch 29, §52.
Structure South Dakota Codified Laws
Section 37-26-1 - Definition of terms.
Section 37-26-2 - Fraudulent offer or sale of membership as felony.
Section 37-26-3 - Bond required of buying club--Amount.
Section 37-26-4 - Loss covered by bond--Filing and approval of bond--Action on bond.
Section 37-26-5 - Liability of surety limited to amount of bond.
Section 37-26-7 - Violation of chapter as felony.
Section 37-26-8 - Punishment under other criminal laws not prevented by chapter.
Section 37-26-9 - Consumer protection avoidance period provisions applied.
Section 37-26-10 - Civil action for damages from violation of chapter--Equitable relief.