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Government Payment Service, Inc. v. Ace Bail Bonds
In Government Payment Service, Inc. v. Ace Bail Bonds, 2006 WL 2873621 (Ind.App. October 11, 2006) a group of bail agents sued Government Payment Service (GPS) for violating the Indiana statute on licensing of bail agents and tortuous interference with the bail agents’ contracts. The trail court granted a temporary restraining order, and later a permanent injunction, restraining GPS from facilitating the payment of cash bail in Indiana. GPS counterclaimed for malicious prosecution. GPS had contracts with three courts under which inmates could charge their cash bail. GPS received a fee in connection with each transaction, and the bail agents argued that this violated IC 27-10-3-1 under which only a licensed bail agent may charge a fee to post a bail bond.
The Court of Appeals reversed the injunction and held, “Facilitating the access of incarcerated defendants to credit which they in turn post as cash bail is not engaging in the writing of bail bonds, and it is not tortuous interference with the business relationships of the Bail Agents.” The Court also held that the lower court case terminated in the bail agents’ favor, therefore GPS could not recover on its counterclaim.
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