Montana Marijuana Testing Laboratory License Bond
Montana marijuana testing laboratories are required to post a $25,000 cannabis surety bond as a condition of their testing laboratory license. The bond is filed with the Montana Department of Revenue and runs to the Department to guarantee that the licensee will adhere to the security plan approved by the Department, or otherwise operate in compliance with the security regulations applicable to cannabis testing operations.
We have been writing surety bonds since 1971. If you are facing this requirement, call us at 800-333-7800 or request a free quote online. Cannabis bond regulations are fairly new and constantly changing, so feel free to reach out to us regarding the latest underwriting and pricing policies that apply to your specific situation.
What This Bond Covers
The Montana marijuana testing laboratory surety bond covers the costs of damages in the event the licensee fails to adhere to the security plan approved by the Department, or otherwise operates the facility in a manner that allows for or results in theft, loss, or diversion of marijuana items. The bond protects the State of Montana and the public by ensuring that there is a financial backstop if a testing lab’s operations create losses tied to security failures.
Statute and Regulator
The Montana marijuana testing laboratory bond requirement is mandated by the Montana Marijuana Regulation and Taxation Act, specifically Section 16-12-206(4)(b)(iii) of the Montana Code Annotated, and implemented through Administrative Rule of Montana 42.39.417. The bond is filed with the Cannabis Control Division (CCD) of the Montana Department of Revenue, which administers the state’s marijuana program. Documentation of insurance and a surety bond are required components of the testing laboratory license application.
What Underwriting Looks Like
A $25,000 bond is in a standard underwriting range. As a general rule, bonds over $10,000 typically require a credit check on the company owners. Cannabis bond underwriting standards are evolving, so call us at 800-333-7800 for guidance specific to your situation.
Montana Testing Lab Bond FAQs
How much is the Montana marijuana testing laboratory bond?
$25,000.
Who is the obligee?
The Montana Department of Revenue, through its Cannabis Control Division (CCD).
What law requires the bond?
Section 16-12-206(4)(b)(iii) of the Montana Code Annotated (the Montana Marijuana Regulation and Taxation Act) and ARM 42.39.417.
What does the bond guarantee?
It guarantees the licensee will adhere to the security plan approved by the Department or otherwise operate in compliance with security regulations, including avoiding theft, loss, or diversion of marijuana items.
How long does it take to get bonded?
For a $25,000 bond with reasonable credit, we can typically move quickly. Call us at 800-333-7800 and we will tell you exactly where you stand.
Get Your Montana Cannabis Testing Lab Bond Today
We have been writing surety bonds since 1971 and we work with the carriers that write Montana marijuana testing laboratory bonds. Call 800-333-7800 or request a free quote online. See our national cannabis surety bond page for broader context.