"Corporate guarantee" defined

Sec. 5. (a) A written guarantee accepted under this section is referred to as a "corporate guarantee".

(b) The director may accept a corporate guarantee for an applicant's self-bond from a corporate guarantor if, at the time the self-bond is accepted, the following conditions are met:

(1) The guarantee is in writing.

(2) The applicant satisfies the requirements of section 4(d)(1), 4(d)(2), and 4(d)(8) of this chapter.

(3) The guarantor meets the conditions imposed upon an applicant under section 4 of this chapter.

(c) The terms of a corporate guarantee must provide for the following:

(1) If the applicant fails to complete the reclamation plan, the guarantor shall complete the reclamation plan or the guarantor is liable under the indemnity agreement to provide money to the department sufficient to complete the reclamation plan, but not to exceed the bond amount.

(2) The corporate guarantee remains in force unless:

(A) the guarantor sends notice of cancellation by certified mail to:

(i) the applicant; and

(ii) the director;

at least ninety (90) days before the cancellation date; and

(B) the director accepts the cancellation.

(3) A notice of cancellation of a corporate guarantee may be accepted by the director if:

(A) the applicant obtains a suitable replacement bond allowed under IC 13-4.1-6 (before its repeal) or IC 14-34-6 before the cancellation date; or

(B) the land or parts of the land for which the self-bond was accepted have not been disturbed.

[Pre-1995 Recodification Citation: 13-4.1-6.3-9.]

As added by P.L.1-1995, SEC.27. Amended by P.L.176-1995, SEC.15.