# Tenn. Code Ann. § 56-12-109: Powers and duties of commissioner - Judicial review > Tennessee · Statutes · In force URL: https://www.frixlaw.com/law-library/statutes/STATE_TN_T56_C12_S56-12-109 ## Section - **Citation:** Tenn. Code Ann. § 56-12-109 - **Heading:** Powers and duties of commissioner - Judicial review - **Jurisdiction:** Tennessee - **Kind:** Statutes - **Status:** In force - **Text as of:** August 14, 2026 - **Source:** Compiled text - **Location:** TN Code / Title 56 / Chapter 12 / Section 56-12-109 ## Text (a) The commissioner shall: (1) Notify the association of the existence of an insolvent insurer not later than three (3) days after receiving notice of the determination of the insolvency. The association shall be entitled to a copy of any complaint seeking an order of liquidation with a finding of insolvency against a member company at the same time such complaint is filed with a court of competent jurisdiction; and (2) Upon request of the board of directors, provide the association with a statement of the net direct written premiums of each member insurer. (b) The commissioner may: (1) Require that the association notify the insureds of the insolvent insurer and any other interested parties of the determination of insolvency and of their rights under this part. Such notification shall be by mail at their last known address, where available, but if sufficient information for notification by mail is not available, notice by publication in a newspaper of general circulation shall be sufficient; (2) (A) Suspend or revoke, after notice and hearing, the certificate of authority to transact insurance in this state of any member insurer which fails to pay an assessment when due or that fails to comply with the plan of operation; or (B) As an alternative, the commissioner may levy a forfeiture on any member insurer who fails to pay an assessment when due. Such forfeiture shall not exceed five percent (5%) of an unpaid assessment per month, but no forfeiture shall be less than one hundred dollars ($100) per month; and (3) Revoke the designation of any servicing facility if the commissioner finds claims are being handled unsatisfactorily. (c) Any final action or order of the commissioner under this part shall be subject to judicial review exclusively by common law writ of certiorari in the chancery court of Davidson County. Acts 1971, ch. 180, § 9; T.C.A., § 56-4009; Acts 1989, ch. 36, § 1; 1999, ch. 48, § 8. (a) The commissioner shall: (1) Notify the association of the existence of an insolvent insurer not later than three (3) days after receiving notice of the determination of the insolvency. The association shall be entitled to a copy of any complaint seeking an order of liquidation with a finding of insolvency against a member company at the same time such complaint is filed with a court of competent jurisdiction; and (2) Upon request of the board of directors, provide the association with a statement of the net direct written premiums of each member insurer. (1) Notify the association of the existence of an insolvent insurer not later than three (3) days after receiving notice of the determination of the insolvency. The association shall be entitled to a copy of any complaint seeking an order of liquidation with a finding of insolvency against a member company at the same time such complaint is filed with a court of competent jurisdiction; and (2) Upon request of the board of directors, provide the association with a statement of the net direct written premiums of each member insurer. ation of the insolvency. The association shall be entitled to a copy of any complaint seeking an order of liquidation with a finding of insolvency against a member company at the same time such complaint is filed with a court of competent jurisdiction; and (2) Upon request of the board of directors, provide the association with a statement of the net direct written premiums of each member insurer. (b) The commissioner may: (1) Require that the association notify the insureds of the insolvent insurer and any other interested parties of the determination of insolvency and of their rights under this part. Such notification shall be by mail at their last known address, where available, but if sufficient information for notification by mail is not available, notice by publication in a newspaper of general circulation shall be sufficient; (2) (A) Suspend or revoke, after notice and hearing, the certificate of authority to transact insurance in this state of any member insurer which fails to pay an assessment when due or that fails to comply with the plan of operation; or (B) As an alternative, the commissioner may levy a forfeiture on any member insurer who fails to pay an assessment when due. Such forfeiture shall not exceed five percent (5%) of an unpaid assessment per month, but no forfeiture shall be less than one hundred dollars ($100) per month; and (3) Revoke the designation of any servicing facility if the commissioner finds claims are being handled unsatisfactorily. (1) Require that the association notify the insureds of the insolvent insurer and any other interested parties of the determination of insolvency and of their rights under this part. Such notification shall be by mail at their last known address, where available, but if sufficient information for notification by mail is not available, notice by publication in a newspaper of general circulation shall be sufficient; (2) (A) Suspend or revoke, after notice and hearing, the certificate of authority to transact insurance in this state of any member insurer which fails to pay an assessment when due or that fails to comply with the plan of operation; or (B) As an alternative, the commissioner may levy a forfeiture on any member insurer who fails to pay an assessment when due. Such forfeiture shall not exceed five percent (5%) of an unpaid assessment per month, but no forfeiture shall be less than one hundred dollars ($100) per month; and (A) Suspend or revoke, after notice and hearing, the certificate of authority to transact insurance in this state of any member insurer which fails to pay an assessment when due or that fails to comply with the plan of operation; or (B) As an alternative, the commissioner may levy a forfeiture on any member insurer who fails to pay an assessment when due. Such forfeiture shall not exceed five percent (5%) of an unpaid assessment per month, but no forfeiture shall be less than one hundred dollars ($100) per month; and (3) Revoke the designation of any servicing facility if the commissioner finds claims are being handled unsatisfactorily. (c) Any final action or order of the commissioner under this part shall be subject to judicial review exclusively by common law writ of certiorari in the chancery court of Davidson County. Acts 1971, ch. 180, § 9; T.C.A., § 56-4009; Acts 1989, ch. 36, § 1; 1999, ch. 48, § 8. ## Nearby sections - [Tenn. Code Ann. § 56-12-101 Short title](https://www.frixlaw.com/law-library/statutes/STATE_TN_T56_C12_S56-12-101.md) - [Tenn. Code Ann. § 56-12-102 Purpose](https://www.frixlaw.com/law-library/statutes/STATE_TN_T56_C12_S56-12-102.md) - [Tenn. Code Ann. § 56-12-103 Scope](https://www.frixlaw.com/law-library/statutes/STATE_TN_T56_C12_S56-12-103.md) - [Tenn. Code Ann. § 56-12-104 Part definitions](https://www.frixlaw.com/law-library/statutes/STATE_TN_T56_C12_S56-12-104.md) - [Tenn. Code Ann. § 56-12-105 Creation of association](https://www.frixlaw.com/law-library/statutes/STATE_TN_T56_C12_S56-12-105.md) - [Tenn. Code Ann. § 56-12-106 Board of directors - Selection - Qualifications - Expenses](https://www.frixlaw.com/law-library/statutes/STATE_TN_T56_C12_S56-12-106.md) - [Tenn. Code Ann. § 56-12-107 Powers and duties of association](https://www.frixlaw.com/law-library/statutes/STATE_TN_T56_C12_S56-12-107.md) - [Tenn. Code Ann. § 56-12-108 Plan of operation - Requirements of plan - Delegation of authority](https://www.frixlaw.com/law-library/statutes/STATE_TN_T56_C12_S56-12-108.md) - [Tenn. Code Ann. § 56-12-109 Powers and duties of commissioner - Judicial review](https://www.frixlaw.com/law-library/statutes/STATE_TN_T56_C12_S56-12-109.md) - [Tenn. Code Ann. § 56-12-110 Effect of paid claims - Rights of association - Subrogation - Priorities - Statements](https://www.frixlaw.com/law-library/statutes/STATE_TN_T56_C12_S56-12-110.md) - [Tenn. Code Ann. § 56-12-111 Nonduplication of recovery - Exhaustion of other remedies](https://www.frixlaw.com/law-library/statutes/STATE_TN_T56_C12_S56-12-111.md) - [Tenn. Code Ann. § 56-12-112 Reports by board](https://www.frixlaw.com/law-library/statutes/STATE_TN_T56_C12_S56-12-112.md) - [Tenn. Code Ann. § 56-12-113 Examination of the association - Annual financial report](https://www.frixlaw.com/law-library/statutes/STATE_TN_T56_C12_S56-12-113.md) - [Tenn. Code Ann. § 56-12-114 Tax and fees exemption](https://www.frixlaw.com/law-library/statutes/STATE_TN_T56_C12_S56-12-114.md) --- Source: Frix Law Library, https://www.frixlaw.com/law-library/statutes/STATE_TN_T56_C12_S56-12-109. Check the current official text before relying on it. Not legal advice.