Mich. Admin. Code R. 299.2331

Current through Vol. 24-19, November 1, 2024

Section R. 299.2331 - Liability on conformance bond

Rule 2331.

(1) The liability on the conformance bond is conditioned upon compliance with the act, these rules, permit conditions, instructions, or orders of the supervisor of mineral wells. Subject to the provisions of R 299.2333, liability shall cover all operations of the permittee as follows:

(a) Until transfer of the permit for the subject well under R 299.2325(4).

(b) Until final completion approved by the supervisor of mineral wells of the subject well.

(c) Until such time as another bond is in place.

(2) The supervisor of mineral wells shall look to the conformance bond for immediate compliance with, and fulfillment of, the full conditions of the act, these rules, permit conditions, instructions, or orders of the supervisor of mineral wells.

All expenses incurred by the supervisor of mineral wells in achievement of compliance with, and fulfillment of, all conditions of the act, these rules, permit conditions, instructions, or orders of the supervisor of mineral wells shall be paid by the permittee or the surety or from cash or securities on deposit. The claim shall be paid within 30 days of notification to the permittee or surety that expenses have been incurred by the supervisor of mineral wells. If the claim is not paid within 30 days, then the supervisor of mineral wells, acting for and on behalf of the state, may bring suit for the payment of the claim.

Mich. Admin. Code R. 299.2331

2004 AACS