Montana Code Annotated 1997

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     39-71-2108. Failure of employer to pay compensation -- duty of department. Upon the failure of the employer to pay any compensation provided for in this chapter upon the terms and in the amounts and at the times when the same becomes due and payable, the department shall, upon demand of the person to whom compensation is due, apply any deposits made with the department to the payment of the same, and the department shall take the proper steps to convert any securities on deposit with the department or sufficient thereof into cash and to pay the same upon the liabilities of the employer accruing under the terms of this chapter, and the department shall, when necessary, collect and enforce the collection of the liability of all sureties upon any bonds which may be given by the employer to insure the payment of his liability. To these ends and for these purposes, the department shall be deemed to be the owner of the deposit and security and the obligee in the bond in trust for the purposes and may proceed in its own name to recover upon the bonds or foreclose and liquidate the securities.

     History: En. Sec. 30, Ch. 96, L. 1915; re-en. Sec. 2975, R.C.M. 1921; re-en. Sec. 2975, R.C.M. 1935; amd. Sec. 54, Ch. 23, L. 1975; R.C.M. 1947, 92-906; amd. Sec. 64, Ch. 613, L. 1989.

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