Amwest Surety Insurance Company, in Liquidation

DEFENDANTS ON BAIL BONDS

Frequently Asked Questions

Question: Have the Amwest/Far West bail bonds been cancelled?

Answer: Yes, all active bail bonds were cancelled as of December 9, 2001 at 11:59 p.m. CST as required by Nebraska statutes and as a result of the Liquidation of Amwest/Far West.

Question: Why is Nebraska involved?

Answer: Because both Amwest and Far West are incorporated under the laws of the state of Nebraska.

Question: Who are Amwest Surety Insurance Company and Far West Insurance Company?

Answer: These are insurance companies that backed and underwrote thousands of bail bonds written by bail agents in over 40 states.

Question: Now that the bail bonds are cancelled, does this mean that the bond is exonerated?

Answer: Cancellation means that Amwest/Far West is no longer obligated to the court on the bond and Amwest /Far West has no further liability beyond the cancellation date

Question: I am a defendant who was bailed out of jail on an Amwest/Far West bail bond. What does cancellation mean to me and my court case?

Answer: It means that Amwest/Far West is no longer obligated to the court on the bond. We urge you to immediately contact your attorney and arrange to appear before the judge so that the court can make an appropriate order in relation to the cancellation of your bail bond. Failure to do so may result in the issuance of a warrant for your arrest.

Question: Does the cancellation of my bail bond mean that I will be

arrested?

Answer: This could occur in some instances. This is why you are urged

to immediately contact your attorney and arrange to appear before the judge.

Question: What about bail bonds that were ordered forfeited by a court prior to the December 9, 2001 cancellation?

Answer: These are considered to be valid forfeitures and all customary steps will be taken by the court, the bail agent and law enforcement to address the matter. Since these are valid forfeitures, it is our opinion that the bail agent still retains the right to apprehend the defendant. If you are a defendant whose bond has been forfeited you should return to court and should also contact your bail agent.

Question: If as a result of the cancellation, the defendant is ordered to post a new bail bond, will Amwest/Far West pay the premium?

Answer: If premium is paid for a replacement bond the, the person who paid the premium may file a proof of claim with the Liquidator for the premium attributable to the replacement of the cancelled bond(s). This claim must be filed in accordance with the Proof of Claim process. At this time, the Liquidator cannot predict what amount, if any, will ultimately be approved or paid on this or any other type of claim. You may wish to contact your state insurance guaranty association to determine whether such premiums are considered a covered claim by your guaranty association. Please see the “Guaranty Fund Association” information listed elsewhere in this website.

Question: What about the Proof of Claim (POC) process?

Answer: The Liquidator has implemented a claim’s process and has adopted a separate Proof of Claim form (Bail POC) for both Amwest and Far West. Claims will be subject to adjudication by the Liquidator. The POC bar date for Far West (last day for filing a timely POC) is September 30, 2002 while the POC bar date for Amwest was June 7, 2002. Amwest will continue to accept any and all claims filed on the prescribed Proof of Claim (POC) forms, however all POC forms received with a postmark after the bar date (June 7, 2002) will be considered late. Some states have initiated ancillary receivership or liquidation proceedings and those bar dates may differ from those established by Amwest or Far West.

To the extent a claim is filed in an ancillary proceeding, you must comply with the bar date established by that state in order for a claim to be considered timely filed in the ancillary proceeding. All communications should be directed to the Court Division of Amwest/Far West at P.O. Box 4500 Woodland Hills, CA 91365. The phone number is (800) 423-2245. If you need a bail POC form, please contact us.

Question: If the defendant chooses to have a new bail bond written, may the premium be paid from defendant collateral being held by the agent that secures the Amwest/Far West bail bond?

Answer: Only with prior approval from both the agent that holds the collateral and the depositor of the collateral. Furthermore, we believe the judge should first acknowledge the cancellation of the Amwest/Far West bail bond.

Question: If collateral was pledged to obtain my Amwest/Far West bail bond, how will I get it back?

Answer: The fact that the bail bond was cancelled does not necessarily mean that the collateral can be released. The best case would be for the court to react to the cancellation process by ordering the bail bond exonerated. However, we realize that not all judges will issue such an order. In all cases, the judge needs to have to have taken some affirmative action acknowledging the cancellation. Some examples of this would be, for example, if the court orders the defendant released upon his own recognizance, or orders the defendant rebailed. In these cases, upon receipt of necessary documentation, we will consider the bond to have been discharged. In addition, you must have satisfied all legal or contractual obligations between yourself and your bail agent. You should contact your bail agent for further guidance and assistance.

Question: As a result of the cancellation of the bail bonds, is the person who paid the agent the original premium for the Amwest/Far West bail bond entitled to a refund of that premium?

Answer: No. Premiums for bail bonds are fully earned upon release of the defendant from custody.

Question: What if my bail bond was ordered exonerated by the judge at the completion of my required court appearances prior to the cancellation date of December 9, 2001?

Answer: The cancellation does not effect your bail bond.