Florida Citrus Dealer Bonds

Florida Citrus Dealer Bond

The State of Florida takes its citrus fruit seriously, therefore licensing and other requirements are in place for citrus dealers. A citrus dealer will need to file a Citrus Fruit Dealer’s Bond in order to be licensed. The purpose of this bond is to prevent damages from a citrus dealer breaking the Florida Citrus Code or any contracts.

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Other citrus-related bonds are the Citrus Excise Assessments Bond and Citrus Inspection Fees Bond. These bonds are used as a financial guarantee to the Department of Agriculture for the payment of assessments (excise taxes) and fees.

What Is the Lowest Price for the Citrus Dealer Bonds?

The cost of a Citrus Dealer Bond starts at $10 a month or $100 a year with Jet. The price will be a small amount of the bond limit, which can be as little as $1,000 and up to $100,000. Additional factors such as credit scores and, in some cases, financial statements also affect the cost of the bond. See the chart below for examples of Jet’s rates for a preferred credit applicant.

Bond LimitBond TermCost
$10,000$10$100
$25,000$25$250
$50,000$50$500
$100,000$100$1,000
Florida Citrus Dealer Bond Rates

The required limit can be found on the second page of the Citrus Fruit Dealer Bond, Citrus Excise Assessments Bond, or Citrus Inspection Fees Bond forms. 

Who Needs to File a Citrus Dealer Bond?

The Citrus Dealer Bond must be held by, you guessed it, citrus dealers who buy fruit straight from growers and/or for processors, gift fruit shippers, order takers, or packinghouses. Citrus dealers engaging in these activities are required to have a Citrus Fruit Dealer Bond, but the Citrus Fruit Dealer License Application also includes the following business functions: broker of inspected fresh fruit or processed products, fresh section or salad, fresh-squeezed juice, fundraiser, intermediate handler, roadside stand, sales agent, storage, or wholesaler. 

Applying for Citrus Fruit Dealer, Citrus Assessments, or Citrus Inspection Fees Bond With Jet

The first step of your Citrus Fruit Dealer Bond purchase is applying for the bond. When you click the quote button, you will be taken to Jet’s easy, online application. The information necessary to receive a bond quote includes your social security number (used for a soft credit check). For bonds that have a limit that is under $15,000, that’s all that is needed for your application. You’ll find an automatically approved quote upon finishing the application that is ready for purchase. 

For bonds with a limit of more than $15,000, your application will be submitted for review by a Jet underwriter. Additional information, such as business and/or personal financial statements, will be requested. Once a quote is ready, it’ll be emailed to you with a link to purchase. 

After your payment has been processed, you will receive a confirmation email with a receipt and an electronic copy of your Citrus Dealer Bond.

How to File the Florida Citrus Dealer Bonds

Jet will prepare your Citrus Dealer Bond, Assessments Bond, or Inspection Fees Bond and mail it to you. You will need to submit the original copy of the bond along with your license application at the address below:

Citrus Fruit Dealer Bond and Inspection Fees Bond
Florida Department of Agriculture
Attn: Accounting
170 Century Blvd
Bartow, FL 33830

Assessments Bond
Florida Department of Citrus
Attn: Licensing
PO Box 9010
Bartow, FL 33831-9010

Renew Your Citrus Dealer, Inspection Fees, or Assessments Bond

Jet will send renewal notices with plenty of time before the Citrus Bond’s July 31st expiration date through mail and email. If you are continuing your business as a citrus dealer, you will need to renew your bond. Your renewal notice will have a quote that is based on the information Jet has available; but since the bond has a variable limit, it’s very possible that your renewal quote is different from your previous year. 

If the bond limit for the new shipping season is different, now is the time to update Jet. If your bond limit has increased and is over $15,000, you will need to submit financial information before your renewal can be processed. Once your new quote is ready, Jet will send you a new quote through mail and email. 

After you have made payment for your bond renewal, Jet will mail you a brand new bond form when it’s required (like for the Citrus Fruit Dealer Bond) to file with the Department of Agriculture, or a continuation certificate, if permitted.

Cancel Your Citrus Dealer, Inspection Fees, or Assessments Bond

Citrus Bonds in Florida line up with the shipping season for citrus dealers: August 1st to July 31st. If you need to cancel your bond earlier, you can find the details below. Keep in mind that the Citrus Dealer Bond has a 30-day cancellation period and the Inspection Fees and Assessments Bonds have a 60-day cancellation period.

Bond Cancellation Information

Read more bond cancellation information here.

Inspection Fees Bond Details

The Citrus Inspection Fees Bond must be held by processors and packinghouses that have the Division of Fruit and Vegetables Inspection Service or the USDA inspect fruit or processed products. The bond is used to guarantee the payment of inspection fees to be deposited into the Citrus Inspection Trust Fund. Fees must be paid by the 15th of each month, in compliance with Section 601.28 of the Florida Statutes.

How Does a Citrus Fruit Dealer Avoid Bond Claims?

A citrus dealer is someone who buys fruit directly from growers and/or for packinghouses, processors, or gift fruit shippers/order takers. Claims on the Citrus Dealer Bond come from damages caused by a citrus dealer who: 

If a person suffers a loss on behalf of a citrus dealer who engaged in the actions listed above, they can seek compensation through the following procedure (Section 601.66 of the Florida Statutes).

  1. Complaints may be made for a shipping season (August 1st to July 31st) for a citrus dealer’s violation of the Florida Citrus Code. The complaint must be filed with the Department of Agriculture before May 1st, immediately following the shipping season when the violation occurred. A copy of the complaint must be sent to the citrus dealer and the surety company. 
  2. The dealer will have the opportunity to settle the complaint or respond to the complaint, admitting or denying liability. A dealer who admits the violation will need to settle the complaint within the given time; failure to do so will result in the Department ordering the dealer to make payment to the injured person. A dealer who denies the violation will be subject to further review of evidence by the Department. If the complaint does not hold up to scrutiny, the Department will dismiss the complaint. 
  3. If the Department finds the complaint to be valid, it will determine the amount of damages or indebtedness the dealer must pay the injured person within a given time frame.
  4. If the dealer fails to complete the payment, the Department will call on the surety company to pay for the damages, not more than the bond amount. The claim will be paid out to the Department, to be paid out to the complainant or withheld by the Department for later disbursement according to the statutes. 
  5. Bond claims can only be paid out to the Department after the Department’s review, judgment, and request for a bond claim to be paid out.

How to Avoid Citrus Assessments (Excise Taxes) Bond Claims

A Citrus Assessments Fee Bond must be held by any grower, packinghouse, or processor that is obligated to pay assessments under Chapter 20-9 of the Florida Administrative Code. These assessments, otherwise known as excise taxes, are collected to finance research and marketing programs to advance the Florida citrus industry. 

Failure to complete the payment of assessments will result in the following: 

  1. If any such citrus fruit handler is late in paying the assessments or filing returns, the Department of Citrus will send a demand for payment and written notice of delinquency to the citrus handler. 
  2. The citrus handler will have 28 days to fulfill the payment or file for a hearing.
  3. If no payment is made or hearing requested, the handler will have inspection services suspended until payment is received. 
  4. If payment is still not received, a 5% late penalty will be applied and the Department of Citrus will immediately proceed against the Citrus Assessments Bond for payment.

What Happens When a Citrus Bond Claim Is Filed?

If you receive a claim on your Citrus Fruit Bond, notify Jet right away. Our team will look into the claim and any pertinent information provided. As mentioned above, the Department of Agriculture will have already investigated any complaints and determined that a violation has occurred and warrants a bond claim. This judgment is typically ample evidence in support of the Department’s claim. 

Jet will make payment to the Department for damages or the amount of indebtedness. You will be responsible for paying Jet back, though, as that is the nature of surety. Failure to repay Jet can lead to license suspension or revocation for failure to comply with bonding requirements.

Florida Citrus Dealer Bond Form

Notary Bond Application:

X

Business Information:

Indemnity Agreement:

I, the undersigned, hereby apply for a Dishonesty Bond also known as a Business Service Bond or Janitorial Service Bond (“bond”) to the Surety Company (“SURETY”) through Jet Insurance Company (“JET”), with whom I hereby grant the authority to act on my behalf with respect to the bond and assign as my Broker of Record, and declare that the statements herein are true and correct. In consideration of the SURETY issuing, renewing or substituting said bond(s), I, individually and as the owner or officer of the bonded entity, hereby understand and agree, as follows: (i) to reimburse, hold harmless, and indemnify SURETY upon demand for all loss, liability, claim, expense, including but not limited to attorneys’ fees, expert’s fees, investigative fees and claims handling fees, and any other cost which SURETY shall pay or incur in defense, adjustment, or settlement of such claims/suits by reason of such suretyship; (ii) that an itemized statement of loss and expenses by SURETY shall be indisputable proof of my liability to SURETY; (iii) coverage is subject to a $100 deductible; (iv) the employee must be convicted before coverage will apply (v) performance and any form of dispute resolution of this agreement shall take place in the county of SURETY's office of service; and (vi) a facsimile copy or electronically signed version of this agreement shall be binding as if it were an original. This agreement shall survive any changes in, substitute to or renewal of the bond(s).

Required Effect Date of Bond Policy:

Contact Information:

Employee Dishonesty Bond Application:

Business Information:

Business Description:

Coverage Requirements:

Indemnity Agreement:

I, the undersigned, hereby apply for a Dishonesty Bond also known as a Business Service Bond or Janitorial Service Bond (“bond”) to the Surety Company (“SURETY”) through Jet Insurance Company (“JET”), with whom I hereby grant the authority to act on my behalf with respect to the bond and assign as my Broker of Record, and declare that the statements herein are true and correct. In consideration of the SURETY issuing, renewing or substituting said bond(s), I, individually and as the owner or officer of the bonded entity, hereby understand and agree, as follows: (i) to reimburse, hold harmless, and indemnify SURETY upon demand for all loss, liability, claim, expense, including but not limited to attorneys’ fees, expert’s fees, investigative fees and claims handling fees, and any other cost which SURETY shall pay or incur in defense, adjustment, or settlement of such claims/suits by reason of such suretyship; (ii) that an itemized statement of loss and expenses by SURETY shall be indisputable proof of my liability to SURETY; (iii) coverage is subject to a $100 deductible; (iv) the employee must be convicted before coverage will apply (v) performance and any form of dispute resolution of this agreement shall take place in the county of SURETY's office of service; and (vi) a facsimile copy or electronically signed version of this agreement shall be binding as if it were an original. This agreement shall survive any changes in, substitute to or renewal of the bond(s).

Required Effect Date of Bond Policy:

Contact Information:

Contract Bond Application:

X

Business Information:

Owner Information:

Job Details:

Indemnity Agreement:

I, the undersigned, hereby apply for a Dishonesty Bond also known as a Business Service Bond or Janitorial Service Bond (“bond”) to the Surety Company (“SURETY”) through Jet Insurance Company (“JET”), with whom I hereby grant the authority to act on my behalf with respect to the bond and assign as my Broker of Record, and declare that the statements herein are true and correct. In consideration of the SURETY issuing, renewing or substituting said bond(s), I, individually and as the owner or officer of the bonded entity, hereby understand and agree, as follows: (i) to reimburse, hold harmless, and indemnify SURETY upon demand for all loss, liability, claim, expense, including but not limited to attorneys’ fees, expert’s fees, investigative fees and claims handling fees, and any other cost which SURETY shall pay or incur in defense, adjustment, or settlement of such claims/suits by reason of such suretyship; (ii) that an itemized statement of loss and expenses by SURETY shall be indisputable proof of my liability to SURETY; (iii) coverage is subject to a $100 deductible; (iv) the employee must be convicted before coverage will apply (v) performance and any form of dispute resolution of this agreement shall take place in the county of SURETY's office of service; and (vi) a facsimile copy or electronically signed version of this agreement shall be binding as if it were an original. This agreement shall survive any changes in, substitute to or renewal of the bond(s).

Required Effect Date of Bond Policy:

Contact Information:

Worker's Compensation Application:

X

Business Information:

Business Description:

Coverage Requirements

Indemnity Agreement:

I, the undersigned, hereby apply for a Dishonesty Bond also known as a Business Service Bond or Janitorial Service Bond (“bond”) to the Surety Company (“SURETY”) through Jet Insurance Company (“JET”), with whom I hereby grant the authority to act on my behalf with respect to the bond and assign as my Broker of Record, and declare that the statements herein are true and correct. In consideration of the SURETY issuing, renewing or substituting said bond(s), I, individually and as the owner or officer of the bonded entity, hereby understand and agree, as follows: (i) to reimburse, hold harmless, and indemnify SURETY upon demand for all loss, liability, claim, expense, including but not limited to attorneys’ fees, expert’s fees, investigative fees and claims handling fees, and any other cost which SURETY shall pay or incur in defense, adjustment, or settlement of such claims/suits by reason of such suretyship; (ii) that an itemized statement of loss and expenses by SURETY shall be indisputable proof of my liability to SURETY; (iii) coverage is subject to a $100 deductible; (iv) the employee must be convicted before coverage will apply (v) performance and any form of dispute resolution of this agreement shall take place in the county of SURETY's office of service; and (vi) a facsimile copy or electronically signed version of this agreement shall be binding as if it were an original. This agreement shall survive any changes in, substitute to or renewal of the bond(s).

Required Effect Date of Bond Policy:

Contact Information: