Indiana Code 28-8-4.1-301. Exempt persons
(1) An operator of a payment system, to the extent that the operator provides processing, clearing, or settlement services, between or among licensees or persons exempt under this section, in connection with wire transfers, credit card transactions, debit card transactions, stored value transactions, automated clearinghouse transactions, or similar funds transfers.
Terms Used In Indiana Code 28-8-4.1-301
- Contract: A legal written agreement that becomes binding when signed.
- Corporation: A legal entity owned by the holders of shares of stock that have been issued, and that can own, receive, and transfer property, and carry on business in its own name.
- Electronic funds transfer: The transfer of money between accounts by consumer electronic systems-such as automated teller machines (ATMs) and electronic payment of bills-rather than by check or cash. (Wire transfers, checks, drafts, and paper instruments do not fall into this category.) Source: OCC
- Fiduciary: A trustee, executor, or administrator.
- Obligation: An order placed, contract awarded, service received, or similar transaction during a given period that will require payments during the same or a future period.
- Settlement: Parties to a lawsuit resolve their difference without having a trial. Settlements often involve the payment of compensation by one party in satisfaction of the other party's claims.
- United States: includes the District of Columbia and the commonwealths, possessions, states in free association with the United States, and the territories. See Indiana Code 1-1-4-5
(A) There exists a written agreement, between the payee and the agent, directing the agent to collect and process payments from payors on the payee’s behalf.
(B) The payee holds the agent out to the public as accepting payments for goods or services on the payee’s behalf.
(C) Payment for the goods and services is treated as received by the payee upon receipt by the agent, so that the payor’s obligation is extinguished, and there is no risk of loss to the payor, if the agent fails to remit the funds to the payee.
(3) A person that acts as an intermediary by processing payments between a person that has directly incurred an outstanding money transmission obligation to a sender, and the sender’s designated recipient, if the person:
(A) is properly licensed or exempt from licensing requirements under this chapter;
(B) provides a receipt, electronic record, or other written confirmation to the sender identifying the person as the provider of money transmission in the transaction; and
(C) bears sole responsibility to satisfy the outstanding money transmission obligation to the sender, including the obligation to make the sender whole in connection with any failure to transmit the funds to the sender’s designated recipient.
(4) The United States, or a department, agency, or instrumentality of the United States, or its agent.
(5) Money transmission by the United States Postal Service or by an agent of the United States Postal Service.
(6) A state, county, or city, or any other:
(A) governmental agency; or
(B) governmental subdivision or instrumentality;
of a state, or its agent.
(7) A federally insured depository financial institution, bank holding company, office of an international banking corporation, foreign bank that establishes a federal branch under the International Bank Act (12 U.S.C. § 3102), corporation organized under the Bank Service Corporation Act (12 U.S.C. §§ 1861–1867), or corporation organized under the Edge Act (12 U.S.C. §§ 611–633).
(8) Any of the following that is organized under the laws of any state of the United States:
(A) A trust company.
(B) A corporate fiduciary.
(C) An industrial loan corporation.
(9) Electronic funds transfer of governmental benefits for a federal, state, county, or governmental agency by a contractor on behalf of:
(A) the United States or a department, agency, or instrumentality of the United States; or
(B) a state or governmental subdivision, agency, or instrumentality.
(10) A:
(A) board of trade designated as a contract market under the federal Commodity Exchange Act (7 U.S.C. §§ 1–25); or
(B) person that, in the ordinary course of business, provides clearance and settlement services for a board of trade;
to the extent of its operation as or for such a board.
(11) A registered futures commission merchant under federal commodities laws, to the extent of its operation as such a merchant.
(12) A person registered as a securities broker-dealer under federal or state securities laws, to the extent of its operation as such a broker-dealer.
(13) An individual employed by:
(A) a licensee;
(B) an authorized delegate; or
(C) a person exempted from the licensing requirements of this chapter;
when acting within the scope of employment and under the supervision of the licensee, authorized delegate, or exempted person as an employee and not as an independent contractor.
(14) A person expressly appointed as a third party service provider to or agent of an entity exempt under subdivision (7), solely to the extent that:
(A) the service provider or agent is engaging in money transmission on behalf of, and pursuant to a written agreement with, the exempt entity, and the agreement sets forth the specific functions that the service provider or agent is to perform; and
(B) the exempt entity assumes all risk of loss and all legal responsibility for satisfying the outstanding money transmission obligations, owed to purchasers and holders of those outstanding money transmission obligations, upon the service provider’s or agent’s receipt of the purchasers’ or holders’ money or monetary value.
(15) A person exempt by regulation or order if the director finds that:
(A) an exemption is in the public interest; and
(B) regulation of the person is not necessary for the purposes of this chapter.
As added by P.L.198-2023, SEC.4.