Surety Bond Encyclopedia

Mobile Home Manufacturer ($50,000) Bond - Statewide in Florida

Brief Summary

One $50,000 bond covers every factory you run in Florida. Section 320.8225 asks for a single surety bond, cash bond or letter of credit per manufacturer, no matter how many plants build homes for the Florida market. We write it on the state's HSMV 86050 form so it goes straight into your FLHSMV license packet.

Florida requires a $50,000 surety bond, cash bond or letter of credit from every mobile home manufacturer before the Department of Highway Safety and Motor Vehicles issues or renews its license. One bond covers all factory locations. It is filed on form HSMV 86050 and answers for code violations, warranty service failures and violations of Fla. Stat. 320.8225.

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How to Apply for a Mobile Home Manufacturer ($50,000) Bond:

Complete FLHSMV form 84256, the mobile home manufacturer license application.
Provide the legal name of the manufacturer exactly as it appears on the application.
Complete the surety bond application with owner and business details for underwriting.
Receive the executed $50,000 bond on FLHSMV form HSMV 86050, signed by the principal and the surety agent.
Submit the bond with the application and the $300 initial fee, or $400 if you elect the second year.
Before each new license period, file a new bond or a continuation certificate and pay the renewal fee before October 1.

Detailed Information About the Florida Mobile Home Manufacturer ($50,000) Bond:

The figure is per manufacturer, not per plant

Florida Statute 320.8225(5)(a) sets the assurance for mobile home manufacturers at $50,000 and says only one surety bond, cash bond or letter of credit is required for each manufacturer, regardless of the number of factory locations. A builder with three plants files one bond, not three.

The $10,000 figure that shows up in the same statute belongs to recreational vehicle manufacturers, distributors and importers. It does not apply to mobile home builders.

What the bond answers for

The statute requires assurance sufficient to satisfy claims against the licensee for failure to comply with appropriate code standards, failure to provide warranty service, or violation of section 320.8225. The FLHSMV bond form names the Director of the Division of Motorist Services as obligee and protects retail customers who suffer a loss from a breach of a written contract or a violation of Chapters 319 or 320.

Annual filing on an October 1 cycle

The bond, or a proper continuation certificate, is due annually before the license is received. Licenses run for 1 or 2 years beginning October 1. The initial fee is $300 for one year, with an optional second year for $100. Renewal is $100 for one year or $200 for two. A renewal filed after October 1 of the expiration year costs the same as an original application, and no fee is refundable.

Forms

FLHSMV lists form 84256 for the license application, form 86050 for the surety bond and form 86059 for a letter of credit. A manufacturer based outside Florida must also designate an agent for service of process under section 48.181.

Eligibility and Requirements for a Florida Mobile Home Manufacturer ($50,000) Bond:

Bond amount of exactly $50,000 under Fla. Stat. 320.8225(5)(a).
One bond per manufacturer, covering every factory location.
Obligee: Director of the Division of Motorist Services, State of Florida.
A cash bond or a letter of credit on form 86059 may be filed in place of a surety bond.
Surety may cancel only after 30 days written notice to the obligee by registered mail.
Nonresident applicants designate an agent for service of process under Fla. Stat. 48.181.

Florida Mobile Home Manufacturer ($50,000) Bond FAQs:

We build homes in more than one plant. Do we need a bond for each one?

No. Section 320.8225(5)(a) requires only one surety bond, cash bond or letter of credit for each manufacturer, regardless of the number of factory locations.

Is the bond $50,000 or $10,000?

$50,000 for mobile home manufacturers. The $10,000 per year figure in the same statute applies to recreational vehicle manufacturers, distributors and importers.

Can we post something other than a surety bond?

Yes. The statute accepts a cash bond or a letter of credit from a financial institution. FLHSMV uses form 86059 for the letter of credit and form 86050 for the surety bond.

When is the license renewed and what happens if we are late?

Licenses run from October 1 for 1 or 2 years. Renewal costs $100 for one year or $200 for two. If the renewal is not submitted by October 1 of the expiration year, the fee becomes the original application fee.

Who can make a claim on the bond?

Retail customers who suffer a loss because the manufacturer broke a written contract, failed to meet code standards, failed to provide warranty service, or violated Chapters 319 or 320 of the Florida Statutes.